thiec

I am totally agree with you, phil.
Leverage is wonderful tools to trick low capital account, since we use less margin to open an position. BUT DONT USE IT for GREED, Its will Zero-ed your account very quickly.

Simple example :
Capital $1,000
Open Fiber at 1.3300 at 0.2 lot

Leverage 1:100
>>We need 266$ to open that position and only 734$ left to hold risk.
Leverage 1:200
>>We need 133$ to open and we still have 867$ fund
Leverage 1:500
>>We ONLY need 53.2$ to open and we have plenty fund left.

BUT Please dont use leverage to open bigger position (because need less margin), money management is NEEDED here.

katzenhai2

Thats what I tried to say: Money Management is the (most or only) important key to be profitable in the long run.

jazzz

Leverage is used to trade the forex market’s day to day very small movements. Finexo's sophisticated trading platform enables a yield of profits from a relatively small amount: an initial investment of $100 at a 200:1 leverage, generates yields from an amount of $20,000. With leverage, a .5% rise in the rate of a currency turns to a profit of 100% on your initial deposit amount!
Nonetheless, leveraged trading entails risks; therefore, traders should take everything into consideration. On the other hand, on the Finexo platform traders cannot lose an amount greater than the total funds in the account.