elaboy posted: High leverage is risky if you don't use max 3x 5x on a 100x activated account.
Yes high leverage is risky but rewarding also,if you seriously think that a particular high value trade can bring you profit. do it with leverage. Also if you don’t know the risk of leverage, definitely don’t do leverage trading.
I think the higher leverages by the broker is a plus point. If you get solid trading opportunities with the leverage the profit will be huge. We cannot say leverage is not important because frankly you can get more rich by just using leverage right..
I do acknowledge that leverage is important but is it worth it to risk your money for one profit? Doesn’t the consistency of the profits matter more than one single profit and then in the next you are bankrupt. Moreover there are many genuine brokers like Etoro, Fxview, Oanda, IG, Pepperstone etc. which provide good leverages but there are a plethora of scam brokers who use enormously high leverage ratios as the bait for the new brokers. So it is a message to the traders that be cautious with the brokers who provide very high leverage.
Consistency is the important thing because how long you can reap the benefits of a single trade.
'Most brokers have started offering higher leverage. I would recommend trading with minimum leverage broker like FP markets that offer 500:1 because the risk involved is lower and profit earned is better than lower leverages.
Using lower leverage also has lower risks, but the profit earned is just peanuts, and higher leverage of 1000:1 could bring major problems if the trade fails.'
Forex brokers offer high leverage, and every broker has its own limit of high leverage. Traders that are looking for high leverage brokers, I suggest trading with FP Markets, ICM or other regulated brokers.
High leverage is dangerous, especially for a trader that can't control their greed very advisable for a beginner to use low leverage for start trading in real account, because low leverage will prevent over trading and greed, due they not enough margin to open new trades, but for some trader use high leverage is useful for a certain trading strategy like as martingale trading system
FXOday posted: High leverage is dangerous, especially for a trader that can't control their greed very advisable for a beginner to use low leverage for start trading in real account, because low leverage will prevent over trading and greed, due they not enough margin to open new trades, but for some trader use high leverage is useful for a certain trading strategy like as martingale trading system
Forex traders should choose the level of leverage that makes them most comfortable. If you are conservative and don't like taking many risks, or if you're still learning how to trade currencies, a lower level of leverage like 5:1 or 10:1 might be more appropriate.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
You could lose some or all of your initial investment. Do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
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