1
Forex Leverage Question?
On Forex I have a balance of $60000 Tradeable (on a a practice account). Does that mean if I had real money it would be $60000 or would it be subjected to leverage? Any more information about forex and its workings would be much appreciated. Thanks
The $60,000 balance in your demo account represents your trading capital, which can then be leveraged to purchase even more trading lots.
Forex trading is very risky. So unless you already have a very high net worth, it would not be wise to risk anywhere near $60,000 in real money to trade forex.
Only trade forex with capital you can afford to lose. Do NOT risky money meant for food, rent, etc.
It’s good that you’re practicing on a demo account. However, it would be better to practice with a much more realistic balance, since the whole point of a demo account is to replicate *reality*.
Even when you feel comfortable trading a particular strategy in your demo account, and you’re ready to trade real money, start off very conservatively. Do NOT jump in head-first.
Start trading real money in a micro-lot account, where you risk pennies instead of dollars. This gives you the opportunity to see if your trading strategy works just as well on a live account as it did on your demo account…without risking too much.
Good luck!
Was this answer helpful?
LikeDislike