There has to be a reason why regulated brokers like Fxview, ICM, Fxpro are offering low leverage. It is best for us only. Why risk traders are willing to risk so much, i really don't understand, with such security of funds are also at stake since no regulated broker will give high leverage.
You dont see the bigger picture. Low leverage is dangerous because you need to risk more money to get the same profit.
Lets assume you need to trade 1 lot trades to generate enough profit.
To trade 1 lot EUR USD with leverage 1:500 margin is 100,000/500 = 200 EUR. With stop loss and take profit of 10.0 pips you make either $100 profit or $100 loss. You can trade with 1,000 EUR lets say 3,000 to have some reserve for chain of losing trades. So if broker goes to hell you lost 1,000 EUR.
Low leverage. You need 100,000
To trade 1 lot EUR USD with leverage 1:5 margin is 100,000/5 = 20,000 EUR. With stop loss and take profit of 10.0 pips you make either $100 profit or $100 loss. You has to deposit at least 20,000 EUR lets say 25,000 to have some reserve for chain of losing trades.So if broker goes to hell you lost 25,000 EUR.