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Leverage and its risk

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Re: Leverage and its risk

Postby Giror » Sat Oct 07, 2017 5:47 am

You just need to use low leverage if you don't want any risks that come from it.
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Re: Leverage and its risk

Postby John Harry » Mon Oct 09, 2017 4:23 pm

Leverage is all time an essential element provided by broker. The amount of leverage differs from broker to broker. Those broker who have high liquidity of source usually provide high leverage to the traders. Like with Trade12 I have the high leverage like 1:400 through which I can easily exceed my initial trading capital. Due to this advantage I can trade with high lot indeed.
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Re: Leverage and its risk

Postby radex78 » Mon Oct 09, 2017 9:37 pm

Giror wrote:You just need to use low leverage if you don't want any risks that come from it.

Low leverage can prevent from greediness because if they will open big lot size it will required bigger margin requirement, but if they using high leverage it possible making greedy but will useful for trader that having small capital if choosing high leverage
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Re: Leverage and its risk

Postby John Harry » Tue Oct 10, 2017 1:48 pm

Leverage is a big advantage to the traders. Leverage refers to borrowing a certain amount of the money needed to invest in something. In the case of forex, that money is usually borrowed from a broker. Forex trading does offer high leverage in the sense that for an initial margin requirement, a trader can build up - and control - a huge amount of money. With Trade12 I have the high leverage like 1:400 for which I can earn a lot of money through using high lot.
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Re: Leverage and its risk

Postby Sininfinity » Sat Oct 28, 2017 4:58 pm

radex78 wrote:Low leverage can prevent from greediness because if they will open big lot size it will required bigger margin requirement, but if they using high leverage it possible making greedy but will useful for trader that having small capital if choosing high leverage


Agree with you. This applies especially to new traders. They don't know how to handle leverage and is better if they use smaller leverage which can save them from damaging themselves.
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Re: Leverage and its risk

Postby Joy Bahadur » Sat Oct 28, 2017 5:15 pm

,leverage we have to select actually according to our trading balance. even though many of emphasis about risk management when using leverage but I don’t at all . because despite of good risk managing plan that’s not possible at all to make profit very rapidly if you don’t have a sufficient trading balance . so it is more important to ensure a large capital before using leverage.
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Re: Leverage and its risk

Postby sabakanwal » Sat Oct 28, 2017 9:05 pm

Some brokers like hotforex offers 1:1000 on micro and 1:400 on regular accounts however new traders being unaware of the market conditions should better keep the leverage low in start because high leverage means high damages.
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Re: Leverage and its risk

Postby John Harry » Tue Oct 31, 2017 3:31 pm

Leverage refers borrowing a certain amount of the money needed to invest in something. In the case of forex, that money is usually borrowed from a broker.Forex trading does offer high leverage in the sense that for an initial margin requirement, a trader can build up - and control - a huge amount of money. Trade12 provides the high leverage more than 1:400 through which I can easily exceed my initial capital and can be able to take high lot while trading.
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Re: Leverage and its risk

Postby Ordenew » Wed Nov 01, 2017 1:22 pm

I used to think that the higher the leverage, the higher the risks are. But one of my friends explained that leverage actually doesn't affect the risks.
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Re: Leverage and its risk

Postby John Harry » Wed Nov 01, 2017 2:01 pm

Actually I am a scalper and like to hedge on market. So leverage is always an important concept to me. I expect for a high leverage broker all time. Because if I have high leverage then I can broaden my lot size and can enjoy a good amount of profit all time. With Trade12 I have flexible high leverage like more than 1:400 which varies from account to account.
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