You are right mate as higher leverage is a boon for traders who have less investments or less funds in their account and it can enhance their trading capacity and help them make more money.
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It seems you might have a strong Forex signals/strategy which will not let your open positions against you for more more than 14 pips.. Higher leverage usually enables you to go higher lot sizes but disabling to hold until stop-loss when a position goes against you.
yes,high leverage is really a risky one as i lost my bonus by using 1:500 leverage but it also has same chance of gaining huge profits if you win a trade but anyway it is very risky
It is my practical experience that higher leverage is not bad at all but the main problem is a big lot size. I have got the MC many times just because of this big lot size in past and now I am using the highest leverage of 1:1000 and restricted myself from opening a big lot size.
Yes, i agree with this. But, if you use low leverage in your account. Then, you cannot able to use big lot size. So, high leverage lead to higher loss but not make huge loses. It only leads to loss by making free rules for you. Usually all traders use higher leverage only. Because, they try to use some strategy which needs some margin.
i read many reviews about leverages . some said that it is dangerous to use higher and some said that it is quite useful and in our favor to use them as high, some said that it can protect your account from high losses and some said that it can drew your whole investments. from beginning , i m using high leverages, i never felt any need to low it.
Yes, high leverage may induce traders to trade with higher lot size when they see the amount of free margin. But could not agree that this is the only reason for loosing control on money management. Simply due to greed people do get loss. So, they do loss even with 1:1 leverage also....
great leverage we use when we are in a state of matter the key point, or taking a two-way system, so if we are in good minus, and the other accounts are also in the same condition, if we understand the movement should be towards the direction where we add a lot of transactions, thus cover the losses,