True vs. Maximum Leverage

Beginner Questions
1

Hello folks, I am currently going through the babypips trading course and I am in need of some help regarding True Leverage. The School of Pipsology states that “True leverage is the full amount of your position divided by the amount of money deposited in your trading account.” The following example was then used to explain the True Leverage concept:

"You deposit $10,000 in your trading account. You buy 1 standard 100K of EUR/USD at a rate of $1.0000. The full value of your position is $100,000 and your account balance is $10,000.

Your true leverage is 10:1 ($100,000 / $10,000)"

So my question is, say for instance I have an account that has a maximum leverage of 100:1, since the True Leverage is 10:1 does that mean the available Maximum Leverage that I can use to open other trades is 90:1?

2

Yes.

But, don’t do it. Over-leveraging your account can be deadly.

3

high leverage contains huge risk , its commonly said by traders , according to me, if there is any risk it is completely with non-sense planning and with zero risk managing plan , nothing without it.

4

which leverage is more appropriate it completely depends on your risk managing approach, so develop your RM when using leverage.

5

According to other members suggestion; my suggestion will be the same; don’t play with aggressive trading leverage!