Comments on: Quick look at Leverage http://nobsforex.net/2007/06/05/quick-look-at-leverage/ A part of the nobs network Thu, 21 Aug 2008 22:33:50 +0000 http://wordpress.org/?v=2.2.2 By: No B.s. Way To Making Money Online. | 7Wins.eu http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-6983 No B.s. Way To Making Money Online. | 7Wins.eu Wed, 25 Jun 2008 00:31:15 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-6983 [...] All Around Talented Guy ? Blog Archive ? A No-BS Guide To Taking Control of Your Health: Part I Quick look at Leverage ? Forex Blog, A Part of No Bullshit Network Tags &gt No Tags &lt This product is also listed in Money & Employment New Products Self [...] […] All Around Talented Guy ? Blog Archive ? A No-BS Guide To Taking Control of Your Health: Part I Quick look at Leverage ? Forex Blog, A Part of No Bullshit Network Tags &gt No Tags &lt This product is also listed in Money & Employment New Products Self […]

]]> By: The NobsForex Way for Starting Out Forex - A Beginner’s Guide » Forex Blog, A Part of No Bullshit Network http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-983 The NobsForex Way for Starting Out Forex - A Beginner’s Guide » Forex Blog, A Part of No Bullshit Network Sun, 30 Sep 2007 07:18:07 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-983 [...] on some technical terms of Forex such as leverage and so on. tianx, one of our blog author has leverage covered. We’ll move on [...] […] on some technical terms of Forex such as leverage and so on. tianx, one of our blog author has leverage covered. We’ll move on […]

]]> By: beenthere http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-214 beenthere Thu, 28 Jun 2007 12:51:17 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-214 I'm currently trading 1k lots in accounts with various margins at 400:1. So a minimum amount to start a live account is generally $2,000 - $2,500 depending on the broker. Lots of 100 in a micro account and you can open with as low as $250. Doing very well. I hold my positions though - I may not reallocate for months, so I earn interest every day, and I always buy low and sell high. It takes me only a few minutes a day. More of a long term investment than traditional directional/day trading. But I sleep really well at night... Yes, the trading platform software itself "monitors" the open positions - buy and sell points (stop limits) are executed automatically when hit. I’m currently trading 1k lots in accounts with various margins at 400:1. So a minimum amount to start a live account is generally $2,000 - $2,500 depending on the broker. Lots of 100 in a micro account and you can open with as low as $250.

Doing very well. I hold my positions though - I may not reallocate for months, so I earn interest every day, and I always buy low and sell high. It takes me only a few minutes a day. More of a long term investment than traditional directional/day trading. But I sleep really well at night…

Yes, the trading platform software itself “monitors” the open positions - buy and sell points (stop limits) are executed automatically when hit.

]]> By: nobsforex http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-174 nobsforex Fri, 08 Jun 2007 17:54:52 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-174 Good point brought out by Gray. Personally I'm trading live at 0.10 lots with 1:100. Good point brought out by Gray. Personally I’m trading live at 0.10 lots with 1:100.

]]> By: Gray Eminence http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-173 Gray Eminence Fri, 08 Jun 2007 17:42:00 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-173 It's to be noted that some broker allow you to trade 0.10 or even 0.01 lot, meaning that you can trade with less than wath is mentionned above or minmize the risk of each trade. It’s to be noted that some broker allow you to trade 0.10 or even 0.01 lot, meaning that you can trade with less than wath is mentionned above or minmize the risk of each trade.

]]> By: Jude http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-171 Jude Fri, 08 Jun 2007 03:40:23 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-171 The two pingbacks below are considered responses as well opie The two pingbacks below are considered responses as well opie

]]> By: opie999 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-170 opie999 Thu, 07 Jun 2007 04:05:40 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-170 Yes Paul, that was very helpful. Very clearly explained. Thank you. The broker must have an automated system to keep track of all open positions, correct? I can imagine a lax (or unscrupulous) broker allowing my account to drop below $1,000 before executing a margin call. At that point I'd be obliged to deposit additional funds, correct? Or am I being needlessly paranoid? BTW Jude, it says there are 6 responses to this post but I only see four. Is there another section where replies can't be viewed!? Yes Paul, that was very helpful. Very clearly explained. Thank you.

The broker must have an automated system to keep track of all open positions, correct? I can imagine a lax (or unscrupulous) broker allowing my account to drop below $1,000 before executing a margin call. At that point I’d be obliged to deposit additional funds, correct? Or am I being needlessly paranoid?

BTW Jude, it says there are 6 responses to this post but I only see four. Is there another section where replies can’t be viewed!?

]]> By: Paul http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-169 Paul Wed, 06 Jun 2007 14:27:16 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-169 Hi Opie, The broker may allow you to buy 1 standard lot, but as the position starts to go against you, the broker will close out the trade for you at a certain point. For instance. You have $1,000 in your account and you open a long position on the Euro at 100:1 leverage. This means that you will be earning $10 for ever pip the trade goes in your direction and losing $10 for every pip the trade goes against you. when you open your trade you will automatically see a -$20 to -$40 dollars in your account depending on the spread your broker offers. Now as the trade moves, your accounts unrealized P/L will go up and down depending on the direction of the move. Let's assume you get in and the market goes against you 80 points. Your account will now show an unrealized P/L of -$800 (80 pips X $10) Some brokers might do what is called a margin call. What happens is that you will be required to add more funds to your account or the broker is going to start closing out position until your margin levels go up again. So Opie, That was a long way of saying Yes, you can open up a position, but you better be right. Depending on the pair you trade, your $1,000 can get eaten up very quickly. I hope this was helpful Paul http://www.myhyicommunity.com Hi Opie,

The broker may allow you to buy 1 standard lot, but as the position starts to go against you, the broker will close out the trade for you at a certain point.

For instance. You have $1,000 in your account and you open a long position on the Euro at 100:1 leverage. This means that you will be earning $10 for ever pip the trade goes in your direction and losing $10 for every pip the trade goes against you.

when you open your trade you will automatically see a -$20 to -$40 dollars in your account depending on the spread your broker offers.

Now as the trade moves, your accounts unrealized P/L will go up and down depending on the direction of the move.

Let’s assume you get in and the market goes against you 80 points. Your account will now show an unrealized P/L of -$800 (80 pips X $10)

Some brokers might do what is called a margin call. What happens is that you will be required to add more funds to your account or the broker is going to start closing out position until your margin levels go up again.

So Opie, That was a long way of saying Yes, you can open up a position, but you better be right. Depending on the pair you trade, your $1,000 can get eaten up very quickly.

I hope this was helpful
Paul
http://www.myhyicommunity.com

]]> By: hyip news, stay informed » Forex For Beginners - Leverage Explained http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-168 hyip news, stay informed » Forex For Beginners - Leverage Explained Tue, 05 Jun 2007 19:22:09 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-168 [...] Forex For Beginners - Leverage Explained June 5, 2007 on 1:25 pm | In Forex, Forex for Beginners, Leverage | A new tutorial on forex leverage has been written by tianx. You can check out ‘Quick look at Leverage‘ on No Bullshit Forex Blog. [...] […] Forex For Beginners - Leverage Explained June 5, 2007 on 1:25 pm | In Forex, Forex for Beginners, Leverage | A new tutorial on forex leverage has been written by tianx. You can check out ‘Quick look at Leverage‘ on No Bullshit Forex Blog. […]

]]> By: opie999 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-167 opie999 Tue, 05 Jun 2007 16:41:44 +0000 http://nobsforex.net/2007/06/05/quick-look-at-leverage/#comment-167 So, if I understand you correctly, I would not be allowed to open a single postion with my entire account? If the margin were 10% I'd only be able to place $100 on any given trade? So, if I understand you correctly, I would not be allowed to open a single postion with my entire account? If the margin were 10% I’d only be able to place $100 on any given trade?

]]>