Leverage is useful or not ?
Mar 02, 2022 at 06:24
Leverage plays a vital role in determining your risk factor because you can increase and decrease your trading lot size depending on leverage. But, bear one thing in mind that the higher the leverage is, the higher the risk as well as the return is. But, I prefer using small lot in trading.
Mitglied seit Jan 12, 2020
17 Posts
Mar 03, 2022 at 07:04
Leverage is neither inherently good nor bad. Leverage amplifies the good or bad effects of the income generation and productivity of the assets in which we invest.
Be aware of the potential impact of leverage inherent in your investments, both positive and negative, and the volatility therein.
Analyze the potential changes in the costs of leverage of your investments, in particular an eventual increase in interest rates.
Invest in top- and bottom-line growth, not just in increasing asset prices.
Invest in productivity enhancement broadly; in other words, invest in creating economic well-being to satisfy human needs.
Be aware of the potential impact of leverage inherent in your investments, both positive and negative, and the volatility therein.
Analyze the potential changes in the costs of leverage of your investments, in particular an eventual increase in interest rates.
Invest in top- and bottom-line growth, not just in increasing asset prices.
Invest in productivity enhancement broadly; in other words, invest in creating economic well-being to satisfy human needs.
Mitglied seit Jun 21, 2021
33 Posts
Mar 07, 2022 at 10:54
It is useful when you dont have sufficient funds in your account and you want to open a trade that you think might have a sure shot positive return. But always apply SL and TP.
Mitglied seit Jun 12, 2021
132 Posts
Mar 09, 2022 at 12:53
when you have good trading plan , any kind of leverage can be better for trading . so should make a perfect money management.
Mar 09, 2022 at 22:55
Leverage giving advantages and disadvantages, the main advantage of using leverage is traders can open a trade using the smallest margin requirement, so possible start trading using low budget trading, but the risk using high leverage is when traders cant control decisions and take high-risk trading, called greedy, this is leverage act like disastrous for account trading, usually margin call quickly occurs.
Mitglied seit Aug 17, 2022
80 Posts
Aug 18, 2022 at 05:02
Choosing the correct level of leverage is crucial for traders to manage risk because it can magnify both gains and losses.And I prefer leverage below 30x.
Mitglied seit Aug 17, 2022
60 Posts
Aug 19, 2022 at 04:27
Leverage chosen wisely can be advantageous to the traders.
Aug 24, 2022 at 12:05
Leverage in trading is a mechanism that allows traders to increase their market exposure by paying less than the full amount of the investment. A trader can trade larger positions in a currency by borrowing money from a broker. As a result, leverage magnifies the returns from favorable changes in the exchange rate of a currency.
Mitglied seit Aug 17, 2022
80 Posts
Aug 25, 2022 at 05:48
The traders who know how to trade with balance of leverage magnify their gains and in turn it works out to be useful for them but if you’re a beginner then limit the leverage as If your trade moves in the opposite direction, leverage will amplify your potential losses.
Aug 25, 2022 at 07:03
Leverage can be really useful in forex trading, as it allows traders to trade with more money than they have in their account. But yeah, it also carries a risk, as if the market moves against the trader's position they can lose more money than they have in their account.
Mitglied seit Aug 08, 2022
20 Posts
Aug 29, 2022 at 09:26
True! Leverage can be a total disaster if the trader does not know what he is doing.
Sep 02, 2022 at 11:09
Leverage itself is neither good nor bad. Leverage amplifies the income and productivity positive or negative effects of the assets we invest in. Be aware of the potential effects (both positive and negative) of leverage inherent in your investments and the volatility that comes with it.
Sep 13, 2022 at 00:36
Of course with leverage traders can start trading with the smallest margin requirement, without leverage traders need to pay an amount of contract size to buy currency, let's say one lot size contract size 100k USD, hence traders need to pay 100k USD to buy one lot size, with leverage trader need to pay less than that.
