How much leverage ratio should a beginner in forex trading start with?
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The same as you would use on a live account.
Do NOT, I repeat, DO NOT open a demo account with x500 leverage and 500,000$ to start learning if you’re going to be using x10 and 500$ on live…
Try to make your demo account conditions as close to the ones you’ll be having on the live account as possible.
Cheers
4X maximum, 2X average.
If a disciplined (sp?) trader is only using .01 lot per trade and only has 1.5-2% of his account at risk what does it matter what the broker leverage is? It’s my understanding that it would only impact margin.
KC
I’m looking into this a bit myself, since my trading platform does not allow leverage to be set by the trader. Apparently (in Canada) these are regulated, and broker determines margin and leverage by currency pair. Forex.com client support told me this.
Has anyone else encountered this? Is this true in Canada? Does other regions allow leverage to be set by the trader (perhaps within some predefined parameters)?
Not sure about Canada but we have those regulations in the US forex.com is up to 50. I think you can ask to go lower if you have the capital.
What leverage are you looking for?
There’s a very helpful section regarding leverage in this Pipsology lesson:
Hi @Daypips2018,
I’m not looking for any specific leverage, just noting that this discussion was around “how much leverage should one use”, and my observation that for some traders (i.e.: myself), it appears we don’t have the choice.
Personally, I’ve a pretty good understanding of leverage and margin, and am incorporating this into my trading plan (still under development). I plan to search to forums, and possibly start a new thread, to discuss the concept of leverage/margin in the context of the trading period one uses (hourly, daily, weekly, etc…)
As a noob, I’d start with 1:1 leverage.
You only lever up once you know what you’re doing.
It’s like driving. You don’t automatically start driving at 100mph as a beginner.
It should be max 1:100, but I will agree with other – make the scene as much close to the reality as possible if we are talking about the demo account. And keep in mind that you need to learn how to win with small leverages, and then increase it slowly.
There are considerable debate regarding effectiveness and usage of leverage. From my own perspective, using leverage can impose some threats and anxieties as leverage is a borrowed funds. Thereby I personally think that new babies should try to give concentration on using his own funds, no matter how smaller it is.
1:1 with diverse positions is extremely conservative.
As a new trader, you should consider limiting your leverage to a maximum of 10:1. Or to be really safe, 1:1.
which leverage is more appropriate for you , it completely depends on your trading management particularly risk . leverage contains huge risk when using , so ensure first of all good risk management.
Trading with 10+ leverage is almost a right of passage in blowing up your first account. Don’t do it. Anecdotally I scaled back my leverage significantly lately and my success rate has gone up. The psychological toll was just too much.
Everyone has a different preference on this. Depends on equity, risk tolerance and trade management.
I use Forex.com in Canada, and it does not appear that I can adjust my leverage at all… or at least not in the user interface. I may be able to contact their service department and request it.
Anyone else manage their leverage on Forex.com?
4X & 2X based on what? Thanks in advance.
1:1 if you want to actually trade and not gamble. 
mostly consider leverage as a great risk but i dont think so, if there is any risk it is completely with no-sense planing and zero risk management approach , nothing without it .
No agree , you can have a good money or risk management , but there is no way to avoid risk when using leverage in practical.