Ok wait, for some reason I just woke up today and Lost my mind to this leverage thing, I thought I had it down and then reviewing this thread, I just got really confused. in the case of leverage is this true?
On a $10,000
400:1 - pip value = $40
200:1 - pip value = $20
100:1 - pip value = $10
etc.
basicaly you would think that this is really all you need to know, but all this talk about less margin used with higher leverage makes me think that it works the opposite way around. In fact after reading this it makes it sound like the above pip values should be switched around to
400:1 pip value = 10,
200:1 pip value = 20,
100:1 pip value = 40
^
l that can't be right. or does less margin used for higher leverage less because you are borrowing more? Anyways your help on this would be appreciated.
Last edited by shadow; 03-24-2007 at 04:25 PM.
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