Hi guys, would like to discover, if I open a trading account with a base currency of SGD (money saved in SGD), also I go long over the EUR/USD pair.
Can the broker automatically convert my SGD capital to USD first prior to going long on the transaction (buying EUR with USD)?
If so, wouldn't I make some reductions in the event the USD loses its worth against the SGD later at the end of the commerce?
What usually happens in these situations? Hope someone can help me out with this.
Thanks Beforehand!