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Thread: Forex Leverage?

  1. #1

    Forex Leverage?

    The ratio of the transaction size to the actual investment used for margin. Leverage allows a client to trade without putting up the full amount. Instead a margin amount is required. For example, 50:1 leverage, also known as 2% margin requirement, means $2,000 of equity is required to purchase an order worth $100,000. I have the high leverage with Trade12 like 1:400 through which I can easily exceed my initial trading capital.

  2. #2
    Junior Member
    Join Date
    May 2016
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    12
    I usually use leverage of 1:200, maximum 1:400, although with some brokers I've seen that there's 1:2000, but I don't know who uses this in practice.

  3. #3
    Junior Member Piter34's Avatar
    Join Date
    Jun 2016
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    11
    For me personally such a high leverage isn't quite a safe choice, I even always recommend my friends to wait before taking such a step.

  4. #4
    Junior Member Piter34's Avatar
    Join Date
    Jun 2016
    Posts
    11
    Even under such conditions I wouldn't recommend choosing such a high credit shoulder. Better to stop at 1:200, you'll see how much safer trading becomes.

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