Capital Market Line: Understanding Forex Trading
The Capital Market Line (CML) Forex is a powerful tool used in the trading world to help traders identify opportunities in the foreign exchange market. It plots the rate of return of a security against its risk level, allowing traders to better understand the market and find potential opportunities for profit. CML Forex is not only useful for traders, but also for investors in order to better understand their position in the market. By varying the risk level, investors can see how their investments will be affected by changes in the market. The CML Forex can help traders understand when to enter and exit positions to maximize their profits.
