How do you decide the best leverage to use for your trading style?

My initial trade always has a stop-loss which would deliver a set percentage loss if hit. Many traders use a limit of 1% or 2%: I sometimes go as high as 5% but that is driven by what market I’m trading and the win rate of the strategy. Either way, it’s always decided in advance.

When following a consistent trend I will often try to add to the initial position.

1 Like