Been trading with different leverage ratios lately and honestly getting mixed results.
Sometimes 1:500 works great for small accounts but other times it just amplifies losses way too fast.
What’s your experience with high leverage? Does it actually help long term or just create more risk?
Leverage does not guarantee more wins. It allows you to control larger positions. With 1:500, your $100 can move $50,000 instead of $10,000 with 1:100. Many traders misuse this and take on too much risk. Use high leverage, but keep your risk to 1-2% per trade. Position sizes should be smaller than expected. Consider high leverage as a tool for flexibility, not a way to boost profits.
Been trading high leverage for years - learned this lesson the expensive way. It’s not about the ratio, it’s how you handle it.
Started at 1:100, jumped to 1:500 after getting some experience. Here’s the thing: your position size doesn’t change. Risk 2% per trade at 1:100? Still risk 2% at 1:500.
High leverage just frees up your account. Instead of tying up 10% for margin, you’re using 2%. Fewer margin calls, more flexibility.
Traders see 1:500 and think “time to go big.” That’s how accounts die.
I use 1:400 now. Good margin efficiency without the urge to overtrade. Some brokers throw in better perks on high leverage accounts too.
Leverage cranks up everything - profits, losses, and emotions. This video helped me get position sizing with leverage:
Think of it like having a bigger engine but you’re still stuck with the same speed limit.
High leverage works fine if you use it for margin efficiency, not bigger bets.
I use 1:300 on most accounts because it frees up capital for other trades. Calculate your position size based on risk percentage first, then open the trade.
Most people do it backwards - they size up just because high leverage lets them afford bigger positions.
High leverage gets risky when you chase profits instead of managing risk. I’ve watched tons of traders blow up their accounts this way. The real benefit? Capital efficiency. With 1:400, I can run multiple positions without hitting margin limits. But here’s the thing - your position size shouldn’t change whether you’re trading 1:50 or 1:500. Brokers push high leverage because most traders screw it up. They see the extra buying power and throw their risk rules out the window. Stick to consistent risk per trade, and leverage becomes just another tool in your kit.
High leverage can lead to big losses quickly. I prefer sticking to 1:100 to manage risk better.
High leverage just lets you lose money faster basically.