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I'm confused. Why is the exchange rate saying 1 EUR = $1.5976 USD? Yet the cost per lot is 1.41244? What does the cost per lot represent? Is that merely the cost per contract? Also, is 1 lot equivalent to $100,000 contract, or would mine be $50,000 since my account is leveraged at 50:1?
lupitchr1 2 months ago
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tigpips 9 months ago
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FreeFOREXautoROBOTS 1 year ago
mr667,
In my opinion, you should just stick with what Dave recommended in money management video. NEVER risk more than 2% of a/c bal. I understand the confusion that may have been caused by this video, but understand that the leverage prescribed by FOREX brokers is totally separate from what he's defining here. To stick with the point of this video and the 2% recommendation, you shouldn't surpass a 2:1 leverage b/c you may gain 5% or LOSE 5% if you go the 5:1 route. Hope that clears it up
successfulmike 2 years ago
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Sheilxzg 3 years ago
i have a question. in the money managemnet videos you said, one should only trade a maximum of 2% of the account balance. let's assume you have an account with 100.000$. so i should only trade 2000$ per trade which leaves me with a leverage of 50:1 on a 100.000 contract trade. but you said also that professional traders do not go above 5:1 leverage. so what's correct?
mr667 3 years ago