Fx Tpis
In Fx trading , by and large traders in particularly the newcomers fall a great loss by taking high leverage due to non sense planning and zero risk management policy, nothing to do with high leverage at all. so, I think, before trading with high leverage we have to know how to manage risk.
Leverage is not bad in itself, but what is wrong is when you do not understand the market and lack proper risk management before you use leverage. And most use high leverages during this time and end up loosing huge amounts.Originally Posted by Golden Sark
When done right and with all focus, leverage can do a lot for a trader. Most times greed and impatience is our problem, we act too hasty and never open to good reasoning. But when the opposite is the case, we love a lot as leverage becomes a like a double edged sword that cuts through our pockets.
I know by and large traders are loser from this market place due to lack of proper trading knowledge, but 90% loser, that’s not correct at all. Because nowadays traders are more advanced and knowledgeable then before.
One major problem we have is being too hasty without proper knowledge on the market, just recently I sought out a friend to follow their steps closely on Crypto trades because her strategy has been consistent. So we should be humble enough to receive help and acquire more knowledge.
Leverage is not bad in itself, but what is wrong is when you do not understand the market and lack proper risk management before you use leverage. And most use high leverages during this time and end up loosing huge amounts.
All the traders we have a choice of the broker to be used , should the trader can choose a broker which is more appropriate to the concept of trading that will be used , if you love doing scalping should choose the broker that allows trading concept such as this. Otherwise it will be more difficult to survive, basically in spite of a profitable trading approach scalping don’t allow by and large regulated trading platforms in their trading brokers.
This is where the double-edged sword comes in, as real leverage has the potential to enlarge your profits or losses by the same magnitude. The greater the amount of leverage on the capital you apply, the higher the risk that you will assume.
Despite of good trading knowledge that’s not possible at all to lead a comfortable trading life with certainly without having lowest trading spreads, because the broker can affects the result of our trading with certainly , now I am trading with LQDFX which for all time ensures best trading environment for using any kinds of trading techniques by providing flexible trading spreads from 0 pips. So, my trading life is very much comfortable when trading.
I agree, and one thing I have seen that causes problem too is lack of confidence in our abilities. But we want to always know that the key to overcome anxiety is to keep going. Build up courage and go at it.
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