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Leverage isn’t a bad thing


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Brokers often give loans to their trades to trade in the forex market is called leverage. It is double edge sword. It also exposes risk. The trader can lose their entire capital due to the leverage. However, it is not a bad thing if you manage to use it with proper risk management. Many brokers offer high leverage in their market. I recommend new traders use low leverage first. As my broker, Eurotrader also offers high leverage. But I only use 1:100 what I only need for my trading.

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On 1/28/2021 at 1:18 AM, Fedra Bianchi said:

Brokers often give loans to their trades to trade in the forex market is called leverage. It is double edge sword. It also exposes risk. The trader can lose their entire capital due to the leverage. However, it is not a bad thing if you manage to use it with proper risk management. Many brokers offer high leverage in their market. I recommend new traders use low leverage first. As my broker, Eurotrader also offers high leverage. But I only use 1:100 what I only need for my trading.

We must understand that if we are making use of High Leverages in doing our trades then we can get more losses also.

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19 hours ago, FXOpen Trader said:

We must understand that if we are making use of High Leverages in doing our trades then we can get more losses also.

Definitely, it magnifies losses as well as profits. In the end it all comes down to risk management - there are ways to use leverage recklessly, and there are ways to use it in a smart way.

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One of the aspects that many fear and miss is leverage, thinking that it will only lead to the loss of personal funds. I can say that they trade with the Amarkets broker using his leverage in the amount of 1: 1000 and this gives me the opportunity, without investing personal funds, to start earning on a good volume

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On 1/28/2021 at 2:48 AM, Fedra Bianchi said:

Brokers often give loans to their trades to trade in the forex market is called leverage. It is double edge sword. It also exposes risk. The trader can lose their entire capital due to the leverage. However, it is not a bad thing if you manage to use it with proper risk management. Many brokers offer high leverage in their market. I recommend new traders use low leverage first. As my broker, Eurotrader also offers high leverage. But I only use 1:100 what I only need for my trading.

I think using leveraged trading is very risky, however, loans have to be repaid. What is your strategy of using high leverage in Eurotrader to keep money management safe?

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