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PREVIOUS:Using a trading app should only be done after carefully considering your trading strategy and setting specific investment goals. To create a balanced portfolio that is in line with your financial goals, ascertain your risk tolerance, investment horizon, and diversification approach. Also, to properly manage your investment positions and safeguard your capital from sizable losses, think about utilizing limit orders and stop-loss orders. With the aid of these order types, you can automate trades based on preset price thresholds without having to keep a close eye on the markets. And last, when using a trading app, keep an eye out for your trading fees and costs.NEXT:Although certain applications provide commission-free trading, additional costs like margin interest, account maintenance fees, or inactivity fees could affect your overall investment returns. Although trading apps are accessible & convenient, there are risks and things to keep in mind when using these platforms. Market volatility is a major risk that can result in abrupt price changes and possible losses on your investments. It is imperative to have a risk management strategy in place and to be ready for market volatility in order to minimize potential losses. Another thing to think about is the possibility of trading app malfunctions or technical problems that could prevent you from making trades or accessing your investment accounts.
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