high leverage high risk ?

1:100 looks more reasonable for me. Traders used adverts that are quite attractive, especially to innocent newbies who blindly accept leverage as high as 1:500 or more, only to end up in pits that they can't come out of. It's best to go leverage that your account can hold rather than biting more than you can afford to chew
 
  • 👍
Reactions: Ann
Leverage is helpful but only to experienced traders who knows how to manage it and potential risks that are originating from usage of leverage. I think that new traders don’t have such experience and it is better to trade with very small, or no leverage at all
 
1:100 looks more reasonable for me. Traders used adverts that are quite attractive, especially to innocent newbies who blindly accept leverage as high as 1:500 or more, only to end up in pits that they can't come out of. It's best to go leverage that your account can hold rather than biting more than you can afford to chew
I also like 1: 100 leverage. This allows you to leave a power reserve against the trader, enough to wait out the floating losses in the trade. And at the same time, it can give a good profit. The perfect combination of risk and potential return.
 
I also like 1: 100 leverage. This allows you to leave a power reserve against the trader, enough to wait out the floating losses in the trade. And at the same time, it can give a good profit. The perfect combination of risk and potential return.

Agree with you! In addition, that’s why right now a number of Forex traders are make dealing with this parameter of trading leverage.
 
According to my experience,i don’t prefer high leverage. Leverage is like a two edged sword,it can work for and against you. It can boost your trade on one hand but keep in mind that it can also bring huge loses in case of a wrong trade. Before trading with high leverage it is better to understand first how to manage the risk. I think for beginners 1:100 or 200 is the the best leverage and not 1:500.
 
According to my experience,i don’t prefer high leverage. Leverage is like a two edged sword,it can work for and against you. It can boost your trade on one hand but keep in mind that it can also bring huge loses in case of a wrong trade. Before trading with high leverage it is better to understand first how to manage the risk. I think for beginners 1:100 or 200 is the the best leverage and not 1:500.

Not more than 100:1! Anything like more than 100:1 would be risky for sure! Over trading is one of the most common problem here by the new traders!
 
  • 👍
Reactions: mandy828
Yes, high leverage means high risk. It allows traders to control larger positions with less capital, which can increase profits but also magnify losses quickly. Small market moves can wipe out accounts when leverage is excessive. Using lower leverage with proper risk management is usually the safer approach.
 
While high leverage offers the potential for high returns, it also increases risk. High leverage allows traders to take large position sizes with low margin requirements. However, it also risks narrowing margin levels, which can quickly lead to margin calls due to price fluctuations.