what is your leverage when you trade ?

[ukelelefx]

My leverage is 1:500.

As long as you are discipline enough, not risking more than 3% of your capital per trade, it doesn't matter what your leverage is. This is because leverage does not factor in the risk and your lot size.

Lot Size = Risk Amount / Number of Pips x Pip Value

Just quoting Mario Singh @ askmariosingh blog

 

[Pharaoh]

I think Mario got it backwards.

Set your lot size and SL based on risking only a small percent of your capital and you'll find that high leverage isn't a problem.

 

[ammar19]

I usually trade with leverage of 1:200, for now I’m doing well and don’t wanna increase it.

 

[itkraze]

I think Mario got it backwards.

Set your lot size and SL based on risking only a small percent of your capital and you'll find that high leverage isn't a problem.

I agree with you, if we use good money management in our trades, then high leverage is not a problem. In fact it becomes a plus point for us and we can use high leverage to our great advantage.

 

[FringFX]

I agree with you, if we use good money management in our trades, then high leverage is not a problem. In fact it becomes a plus point for us and we can use high leverage to our great advantage.

true, but professional traders prefer to manage risk, hence avoid using high leverage.

 

[itkraze]

true, but professional traders prefer to manage risk, hence avoid using high leverage.

Its upto every one how he want to approach forex market. You can use high leverage with low capital or high capital with low leverage. Its up to your risk tolerance.

 

[Pharaoh]

Its upto every one how he want to approach forex market. You can use high leverage with low capital or high capital with low leverage. Its up to your risk tolerance.

Using too high of leverage with that low capital can have you end up with no capital.

 

[DitterPD]

Using too high of leverage with that low capital can have you end up with no capital.

Or with large pile of money But seriously, high leverage - low capital trades gives me an impression of not a trader, but a gambler. Maybe you want have a good time or have spare money, but if you are in it for a serious reasons and with intention to increase capital, high leverage should be used as an exception, rather than a rule.

 

[navyseal]

My broker offer various kind of leverages, it's up to 1:1000 for micro-account, but I don't want to get risk with my money so I trade with 1:100. IMO, too much leverage is not good.

 

[Pharaoh]

Don't worry if your broker offers more leverage than you plan to use. Just because a car can go 300 mph doesn't mean you have to drive it that fast.