Would you trade a $100 account with 1000:1 leverage?

[MithcelRobert]

@THE_GOATE

Greetings fellow traders. Quick question here. I see one broker offering a leverage of 1000:1 with a low deposit. Would you be willing to trade such a small account on such leverage? lololol.

For sure, I will never do this because I know quite well that trading with such a gigantic leverage will consume my entire trading capital.

[4xhoodie]

@averied

Having the leverage doesn’t mean you must use It

seems risky

[4xhoodie]

@MithcelRobert

trading with such a gigantic leverage will consume my entire trading capital.

since we are all in agreement it must be true

[4xhoodie]

@silverf466

No matter what leverage your account is set at, a 0.01 lot trade of Euro USD will make or lose you 10 cents per point

this makes no sense. here come the blown accounts

[jingoy]

would i trade that leverage? hmmm I would, or should i say, I did, haha it was a fun way to blow my hfm account years back, but it was a small capital anyway, would i suggest it? like to new traders i would say stay away from high leveraged account unless you know what you are doing, will it will vary from one trader to another anyway.

[this_is_ando]

Hello

short answer: make sure to trade max 1:30 leverage, so “No.”.

[THE_GOATE]

@silverf466

At 50:1, a 0.01 lot trade of EURUSD requires approx $21.00 of margin…

At 500:1, the same trade only requires $2 of margin.

At 1000:1, the same trade requires only about $1 of margin.

With higher leverage, it’s like having a very fast motor in your car, but you don’t have to push it to the limit.

With higher leverage, you’re much farther away from a margin call.

With lower leverage, you get the same profit or loss per point but it costs you more money to open the trade… It costs you more money to put up as margin to earn the same profit… would you rather put up $1 to earn 10 cents per point or would you rather put up $20 to earn the same profit?

Not many people will truly understand this bit, unfortunately.

[A1Chef]

Yea , but don’t over risk . $100 account you might wanna risk $5 a trade or something. If you start losing , lower your leverage down some .