Edit Your Comment
High leverage = High risk?
Anggota Sejak Oct 29, 2020
53 pos
Feb 08, 2021 at 08:04
Anggota Sejak Oct 29, 2020
53 pos
forextrader777 posted:Yes, I am taking my sweet time to be thorough with trading concepts.
High leverage attracts new traders but few of them know the actual working of leverage. I would recommend that before pushing yourself into the trades that need margin, try to understand the concept clearly, otherwise it can wipe off your account balance.
Anggota Sejak Jul 17, 2020
42 pos
Anggota Sejak Sep 18, 2018
11 pos
Feb 15, 2021 at 10:34
Anggota Sejak Sep 18, 2018
11 pos
Everyone should use fixed stops, even if it is a safety stop loss wider than normal. All it takes is some political event to shake the markets just after you entered to cause massive price spike. Without a safety SL you could make massive losses
Anggota Sejak Nov 24, 2020
28 pos
Feb 16, 2021 at 10:04
Anggota Sejak Nov 24, 2020
28 pos
@Eric ideally, you shouldn’t risk more than 1 or 2% of your trade. It also depends upon the trading style of a person and how much they’re willing to risk. For example, I trade with IB and Fxview and my risk management is such that I don’t go beyond risking 2% of it. This helps me maintain a balance and minimises potential losses too.
Anggota Sejak Oct 01, 2020
37 pos
Anggota Sejak Jan 17, 2021
31 pos
Anggota Sejak Oct 29, 2020
53 pos
Anggota Sejak Oct 29, 2020
53 pos
Feb 25, 2021 at 13:56
Anggota Sejak Jun 08, 2020
44 pos
High leverage is considered risky because when a trader loses in a trade with high leverage, the loss also results in a large amount, whereas if the trader can convert it into a successful trade, the profit earned is more than the invested amount.
Anggota Sejak Jul 23, 2020
869 pos
Anggota Sejak Jul 20, 2019
373 pos
Feb 27, 2021 at 14:25
Anggota Sejak Jul 20, 2019
373 pos
unsightlydray posted:78678676 posted:Debt?? I don’t intend to take up a loan for trading, as wrongly (I think) suggested by a friend!
A higher leverage is way too risky, specially for a newbie who can end up getting himself trapped in a bad debt.
Actually 'leverage' just means that you'll get a 'credit' from a bank or liquidity provider of the broker. A max. account leverage of 1:500 means that you can trade with a maximum of 500k per trade (!) while you'll only throw in 1k of your own money. But if you'll lose 2k in that trade, where does the other 1k come from then? Right, it comes from your deposits (and that's how can get into debt). Most professional brokers have a negative balance stop out. But the higher your leverage the higher the chance you'll get to this stop out.
patience is the key
*Penggunaan komersial dan spam tidak akan ditolerir, dan dapat mengakibatkan penonaktifkan akun.
Tip: Memposting gamba /url youtube akan secara otomatis menyematkannya di postingan Anda!
Tip: Ketik tanda @ untuk melengkapi secara otomatis nama pengguna yang ikut serta dalam diskusi ini.