Am used to trading warrants and shares. One can also trade Standard Bank unit trusts as I do, but with unit trusts one can only exit and enter the market at the same time every day (could be 3.30 pm with Standard Bank, but am not sure). Because an equity unit trust has many shares in they calculate the value of your unit once a day to simplify matters, so you see your entry price in next days paper no matter what time you send in a switch instruction. I am using the international conservative fund of funds to trade the rand currency to some extent. Can someone tell me a little about trading forex. It seems a good bet at present. With the rand falling the top 40 should normally do well, but equities across the world are having trouble so it is hard to gauge and forex looks to be a good bet.
as a general rule of thumb, you want to be able to make at least twice your risk exposure, including costs. So you have to be able to take the cost of trading your instrument - (incl spread, brokerage, interest, etc) - for both the buy and sell - and then double it. If your instrument doesn't have a reasonable chance of reaching that target price in the timeframe you are trading - then it is not suitable.