Overexposure definition

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The term for when a trader makes the technical mistake of investing too much in a particular opportunity.

Increasing exposure offers the chance for greater profit from a position, but comes at greater risk. When a trader believes that a trade’s profit potential is so high that they increase exposure to unwise levels, it is known as overexposure.

Almost all trades involve risk, and an overexposed position can end up incurring significant losses even when you’ve undertaken measures to limit your risk. Being overexposed on a leveraged trade, for instance, can mean ending up with losses that exceed your initial deposit.

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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.