If I want to target 400 pips weekly, and my balance is $1000 and I place on average 2 - 4 trades daily then what leverage and lot size do I use?
I take it you’re a beginner.
You should be only risking 1% of your account on any one trade. So on your account any trade you take should risk only $10. Therefore your lot size will depend on where your stop loss is. Take whatever leverage you need to make the trade happen so you’re risking 1% per trade.
What lot size do I use?
Use a custom lot. Maybe take a few more of the Forex courses on this site?
A 400-pip target (or any fixed pip number target) suggests a uniform approach to trades - so every winning trade has the same number of pips and presumably the same money value per pip. The only way to do this in practice is to always set a TP of X pips and a SL of Y pips. Say, for example, TP 40 pips and SL 20 pips. And 40 pips is always $40 and 20 pips is always $20.
I’m going to say this is a terrible way to manage your trading.
I meant that 400 pips is the weekly target. If I lowered my leverage from 200:1 to 25:1, would this cause me to not reach my target of 400 pips weekly?