Hi again
Given the School of Pipsology’s recommendation to reduce your leverage down to 3:1 or even 1:1, does anyone know of a UK broker that actually allows you to do this?
I have spoken to FXCM and Plus500, and both have the leverage (for the majors) fixed at 30:1, and said it cannot be changed.
If this is a common theme across all brokerages, what, if anything, is the work-around
thanks!
You will need a broker that offers a variable leverage ratio. IFC Markets is one such broker, they offer leverage from 1:1 to 1:400. The maximum leverage that I have used with them is 1:100. I have been trading on MT5, one of the trading platforms that they offer. Another broker you can look into is Turnkeyforex, I am also researching more about them as I am keen on using tradestation that they offer as a trading platform, their spreads I believe are astonishingly low. Leverage is 1:500, I just need to check if they are flexible with it, think they are.
i don’t think you can. talked to fxview, they too said it can’t be done.
If you want to use leverage as per your requirement, you will have to look for a broker that offers variable leverage. I agree that the brokers you have mentioned offer fixed leverage. But I will still recommend using them because of their good reputation in the market.
Search for any broker than offers flexible leverage and not fixed. Most of the brokers that give flexible leverage offers a minimum leverage of 1:1.
We need to make sure that we are using a Trading leverage setting that is not risky so the correct leverage would be 1:50
That totally depends on a person. There is no definite leverage level that can be recommended but a set of range can be. I would recommend up to 1:100 leverage for a beginner.
It is basically done from the portals
Your requirement in terms of leverage depends on whether you are a beginner or a professional. 1:20 or 1:40 is I guess more than enough for a beginner.
I am a beginner and even I trade through lots with 1:20 leverage. But now I am planning to try with 1:100 too once I have enough profit over the last one.
I have seen beginners are very much into high leverages without even knowing much about them. They should first learn about leverages and then try trading. Then only they will get experience of trading and they will know how different leverage ratios help. Fxview, Etrade and XM are some of the brokers that can provide you with good leverages keeping the commissions low.
Yes, I have also experienced the same. And In the need of having high leverage they often end up paying commissions in bulk to some of the wrong brokers.
If that is the case, I think you must look for a broker that allows you to use variable leverage. You don’t have to use a broker that doesn’t let you make your trades how you want to. Instead, look for a broker that lets you choose leverage that you are comfortable using.
Let me clear my point. If you are a conservative and avoid taking risks, then as a beginner a leverage below 1:50 is good. But if someone enjoy taking risks, then why not? You can not just run away from risks in trading business if you want to grow your account.