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Leverage and risk

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According to me, Leverage is simply the credit offered by the broker to trade higher volume. Leverage is a double edge sword. It can result in huge profit or substantial loss.  it allows an investor to grow his market exposure to a level that exceeds the initial investments.  It always surrounds risks , so it is more appropriate to acquire proper risk management approach before using it. 

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#1 - September 07, 2020, 11:43:36 AM

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leverage is closely related to risk because by choosing a large leverage, the risk will also be greater, so traders must be tighter in applying MM.
#2 - September 09, 2020, 04:45:25 PM

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leverage is leverage, if a trader can make good use of it, the profit will be greater with small capital but it can also be a big risk if the trader does not use it properly.
#3 - September 09, 2020, 05:03:14 PM

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Leverage in forex can multiply your profit. But if we are not careful, a single loss can break us too. The risk is always present in forex, but with leverage it is magnified. So look for a risk-reward ratio that won’t bury your account if you end up losing.
#4 - September 10, 2020, 09:45:41 AM
« Last Edit: September 23, 2020, 12:19:39 PM by Admin »

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Leverage and risk are like 2 sides of a coin, one is good and profitable, while on the other hand it is very detrimental so we cannot rely on profit alone.
#5 - September 10, 2020, 11:16:02 AM

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High leverage if you use it wrongly, you are definitely at risk for loss. If you are good at using the leverage the trading results are much greater. 
Most traders use high leverage because they want to catch big profits quickly which of course always lose.
#6 - September 12, 2020, 03:45:53 PM

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Risk and reward cannot be separated. Use of leverage can be good or bad, you must use leverage wisely.
#7 - September 13, 2020, 01:37:48 PM

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Higher leverage will higher risk you take, it cannot control trading, could possible to leading greedy in trading, take high risk in every position, the worst condition with high leverage is when get stop out account your balance will negative value
#8 - September 14, 2020, 12:15:02 AM

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High leverage will quickly drain your capital if it is floating, because it can open larger trades.
Margin will be added for possible trades.
High leverage is risky.
#9 - September 14, 2020, 02:17:02 AM

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Leverage is risky if it is not adjusted to the trader's capital capacity.
leverage can be called a loan from a broker that is given to traders, so that trader's funds have greater purchasing power.
Increased purchasing power will automatically increase the risk.
#10 - September 15, 2020, 09:14:30 AM

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leverage and risk are so closely related that many traders often associate large leverage with the risks involved in forex trading, the greater the leverage, the greater the potential risk.
#11 - September 15, 2020, 04:42:36 PM

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Leverage is an option in trading because it shows how much risk and also the benefits you can get from trading forex.
#12 - September 15, 2020, 05:04:15 PM

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risk is proportional to the amount of leverage used but traders often use large leverage on the grounds that it is easy to get big profits without the need to prepare large capital.
#13 - September 16, 2020, 01:50:29 AM

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all strategies depend on each of us, if we want to be safe then we should not use too much leverage or if we use it then we have to be more strict in implementing risk management.
#14 - September 16, 2020, 02:05:05 AM

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risk and leverage is a double-edged sword, on the one hand it can promise huge profits, but on the other hand it can also harm us and even bankrupt our accounts.
#15 - September 16, 2020, 01:19:35 PM

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