What is Leverage? Leverage allows traders to control a larger position with a small amount of capital. It’s expressed as a ratio, such as 1:400 or 1:3000, indicating the multiplier of the trader’s capital. Key Difference Basis 1:400 Leverage 1:3000 Leverage Position Size Smaller ($12,000 max with $30) Larger ($90,000 max with $30) Margin Requirement … Read more

Forex trading is a legitimate investment opportunity that involves buying and selling currencies on the foreign exchange market. It requires analysis, strategy, and risk management to make informed trading decisions. Gambling is the practice or activity of betting, risking money or other stakes on a random event with the intent of winning something of value. … Read more

Unconstrained Optimization Unconstrained optimization problems involve finding the optimal solution that minimizes or maximizes an objective function without any constraints. Unconstrained optimization is a fundamental problem in many fields, including machine learning, statistics, and operations research. Types of Unconstrained Optimization: Mathematical Formulation Optimization of an objective function without any constraints on the decision variables. Minimize or Maximize: f(x) … Read more

The Central Limit Theorem states that, given certain conditions, the distribution of the mean of a large sample of independent and identically distributed (i.i.d.) random variables will approximate a normal distribution, even if the original variables are not normally distributed. In other words, as the sample size (n) increases, the distribution of the sample mean … Read more

The Singular Value Decomposition (SVD) is a factorization of a matrix A into three matrices: The SVD can be written as: A = U Σ V* The singular values in Σ are non-negative and represent the importance of each column of A. The columns of U and V are orthonormal, meaning they have length 1 … Read more