Edit Your Comment
1:200 leverage
Member Since Oct 22, 2019
6 posts
Member Since Dec 14, 2019
9 posts
Dec 24, 2019 at 11:11
Member Since Dec 14, 2019
9 posts
How can you guys say that 1:200 is good for newbies? On the contrary, the bigger the leverage you use, the more capital you risk (and also pay more fees). Not to mention, that EU regulated brokers can offer a maximum of 1:30 on major currency pairs.
Member Since Dec 18, 2019
33 posts
Dec 25, 2019 at 17:10
Member Since Dec 18, 2019
33 posts
Mohammadi posted:
In my opinion , 1:200 leverage is good for a newbie. Because at these leverage there will be a low risk and average profit that a newbie will be interested to trade in Forex market as well as invest. When a newbie invest in Forex market and have not enough knowledge about leverage , they take high risk . so that leverage is better option to me.
1:200 is standard for me and if not the best, it's also good for traders t are not diciplined
Trender
Member Since Dec 18, 2019
33 posts
Dec 26, 2019 at 20:22
Member Since Dec 18, 2019
33 posts
Jonny87 posted:
leverage is one of the most important tools in forex market. It increases the investment ability. Traders generally choose those brokers which give more leverage than others. So it is a very important to choose a broker which has dynamic and high leverage. I choose TP Global FX because of their high leverage which is 1:500. They don't change their ratio. It helps me to make more profit.
This is ok too
Trender
Member Since Jan 05, 2016
1097 posts
Dec 27, 2019 at 01:31
Member Since Jan 05, 2016
1097 posts
Mohammadi posted:
In my opinion , 1:200 leverage is good for a newbie. Because at these leverage there will be a low risk and average profit that a newbie will be interested to trade in Forex market as well as invest. When a newbie invest in Forex market and have not enough knowledge about leverage , they take high risk . so that leverage is better option to me.
1:200 leverage is neither good or bad. It's just leverage.
Leverage DOES NOT indicate the risk level of the account.
Leverage DOES NOT indicate the average profit.
[ Instrument pip values. ]
1.00 Lot size = $10.00 per pip
0.10 Lot size = $1.00 per pip
0.01 Lot size = $0.10 per pip
Account #1 Balance: $1000.00
EUR/USD 0.10 lots with -300 pips
-300 pips X $1.00 = -$300.00 LOSS
Ending balance: $700.00
Account #2 Balance: $1000.00
EUR/USD 0.01 lots with -30 pips
-30 pips X $0.10 = -$3.00 LOSS
Ending balance: $997.00
Additional costs may include spread, commission, swap, and related fees.
Account 1 will experience a catastrophic loss with approximately 3.34 bad trades in a row.
Account 2 will experience a catastrophic loss with approximately 333.34 bad trades in a row.
Low market exposure = low risk
High market exposure = high risk
If it looks too good to be true, it's probably a scam! Let the buyer beware.
Member Since Jan 05, 2016
1097 posts
Dec 27, 2019 at 01:48
Member Since Jan 05, 2016
1097 posts
Roberto21 posted:
in Fx trading , sometimes leverage bring profit very rapidly , sometimes it causes a great losses and risk in spite of having risk management , but after all its one of the major financial issue in Forex.
FALSE.
Look at these two example trades.
Account #1: EUR/USD 0.10 lots with -300 pips stoploss = $300.00 USD LOSS
Account #2: EUR/USD 0.01 lots with -30 pips stoploss = $3.00 USD LOSS
Risk management limited the loss to $3.00 USD for account #2.
If it looks too good to be true, it's probably a scam! Let the buyer beware.
Member Since Jan 05, 2016
1097 posts
Dec 27, 2019 at 02:13
Member Since Jan 05, 2016
1097 posts
ProfitableRisks posted:Mohammadi posted:
In my opinion , 1:200 leverage is good for a newbie. Because at these leverage there will be a low risk and average profit that a newbie will be interested to trade in Forex market as well as invest. When a newbie invest in Forex market and have not enough knowledge about leverage , they take high risk . so that leverage is better option to me.
1:200 is standard for me and if not the best, it's also good for traders t are not diciplined
What may be standard and best for you, DOES NOT mean 1:200 is the standard and best leverage for everyone else.
In the United States retail Forex traders are typically limited to 1:50 leverage.
A retail Forex trader in the UK might be limited to 1:30 leverage.
Elsewhere a retail Forex trader might have 1:1000 maximum leverage available.
Maximum allowed leverage is generally determined by the governmental regulations and financial market restrictions which a brokerage may operate under.
Risk is determined by market exposure. It's basic math.
If it looks too good to be true, it's probably a scam! Let the buyer beware.
Member Since May 13, 2019
24 posts
Apr 13, 2020 at 19:20
Member Since May 11, 2019
22 posts
That is just usual average leverage being done cause of you know all that stuff which really onto your mind in average offshore broker and many people like it cause they get really used to it absolutely and possibly no matter what reason is.
Member Since Feb 22, 2011
4573 posts
Apr 14, 2020 at 14:26
Member Since Feb 22, 2011
4573 posts
Jonny87 posted:
leverage is one of the most important tools in forex market. It increases the investment ability. Traders generally choose those brokers which give more leverage than others. So it is a very important to choose a broker which has dynamic and high leverage. I choose TP Global FX because of their high leverage which is 1:500. They don't change their ratio. It helps me to make more profit.
So if they don't change the ratio how it comes it is dynamic?
Member Since Dec 14, 2019
9 posts
May 13, 2020 at 18:46
Member Since Dec 14, 2019
9 posts
richard2 posted:
Never got to use 200x. Have always traded with regulated brokers like etoro, markets.com, fxview and Plus500, always used max 30x. and I think this is what beginners should start with. 200x is too much.
Completely agree Richard, 1:200 leverage is way too high, I don't think that retails clients should even have the option to use such enormous leverage. I believe that such high leverage is only offered by off-shore brokers but then again I read this article about a CySEC regulated broker IQ Option, https://tradingbeasts.com/iq-option-review/#Leverage , and found out that the maximum leverage actually depends on where you reside. Meaning that if you live somewhere in the European Economic Area or in the UK, you will be able to use a maximum of 1:30 leverage but if you are based in some African or Asian country, you will be able to use much higher leverage. I am not sure if that's a good thing (I am leaning towards no), but that's the practice of even regulated brokers.
May 14, 2020 at 12:45
Member Since Oct 07, 2019
46 posts
i tried to open a real account in one broker some time ago but it offered me a leverage 1:30. do i need have a big balance for this leverage? right?
1: 200 may be a good leverage but i thought to start with min 1: 500. what can you say about it?
1: 200 may be a good leverage but i thought to start with min 1: 500. what can you say about it?
Member Since Jul 09, 2020
32 posts

*Commercial use and spam will not be tolerated, and may result in account termination.
Tip: Posting an image/youtube url will automatically embed it in your post!
Tip: Type the @ sign to auto complete a username participating in this discussion.