The use of high leverage. Traders experience.

[Oshosondy]

Yes, we know that high leverage is not good, many traders are advising people not to use high leverage. I am among the traders because I have very bad trading experience with high leverage. Let us see traders opinions on this thread to know if they make it after a long period of time with the use of high leverage or they later decided to stop the use of high leverage and trade with low leverage.

I assume 100% song us will choose No, I stop using high leverage butnlet us see if I am wrong.

Please I need only real traders to vote and post.

[mindrust]

It makes sense to use leverage only if you live in a country where they tax your unrealized gains. Then It wouldn't make any sense to buy&hold and let the compounding do the heavy lifting. In those shitty countries, they force your hand to do risky leveraged trades so the game shifts from buy&hodl to yolo. You either make a life changing money from one lucky bet or you keep wage slaving. That's why people make leveraged bets whenever they are able to because they think one of these days they'll get lucky and hit the jackpot. If they wait, the gov will steal their money from them. Makes sense. If the capital gains taxes are reasonable and they don't tax your unrealized gains then it doesn't make sense to play with leverage unless you are a degenerate gambler.

[Finebone]

It makes sense to use leverage only if you live in a country where they tax your unrealized gains. Then It wouldn't make any sense to buy&hold and let the compounding do the heavy lifting. In those shitty countries, they force your hand to do risky leveraged trades so the game shifts from buy&hodl to yolo. You either make a life changing money from one lucky bet or you keep wage slaving. That's why people make leveraged bets whenever they are able to because they think one of these days they'll get lucky and hit the jackpot. If they wait, the gov will steal their money from them. Makes sense. If the capital gains taxes are reasonable and they don't tax your unrealized gains then it doesn't make sense to play with leverage unless you are a degenerate gambler.

I understand what you are trying to say here, but it makes no sense to get yourself in trouble by using high leverage just because of tax, knowing fully well that you are in charge of your margin, and if you lose everything in the process, the government wouldn't reimburse you for your losses, so too much high leverage makes no sense to me no matter what.

. Let us see traders opinions on this thread to know if they make it after a long period of time with the use of high leverage or they later decided to stop the use of high leverage and trade with low leverage.

I have had peace with myself that trading with higher leverage is unsustainable, because you can be easily kicked out of a trade you should have won if you had gone with a lower leverage or no leverage at all, so it's because of the danger attached to higher leverage i start using a much lower one, since going with higher leverage seems like gambling most times.

[mindrust]

It makes sense to use leverage only if you live in a country where they tax your unrealized gains. Then It wouldn't make any sense to buy&hold and let the compounding do the heavy lifting. In those shitty countries, they force your hand to do risky leveraged trades so the game shifts from buy&hodl to yolo. You either make a life changing money from one lucky bet or you keep wage slaving. That's why people make leveraged bets whenever they are able to because they think one of these days they'll get lucky and hit the jackpot. If they wait, the gov will steal their money from them. Makes sense. If the capital gains taxes are reasonable and they don't tax your unrealized gains then it doesn't make sense to play with leverage unless you are a degenerate gambler.

I understand what you are trying to say here, but it makes no sense to get yourself in trouble by using high leverage just because of tax, knowing fully well that you are in charge of your margin, and if you lose everything in the process, the government wouldn't reimburse you for your losses, so too much high leverage makes no sense to me no matter what.

It definitely makes more sense to stay away from leverage if you have another way to benefit from the compounding effect. Most people rather prefer to change their tax residency than yoloing their income on leveraged bets.

Not everyone has that option though. Some people are stuck in those shitty countries that tax unrealized gains and they have no other choice than to go big or go home. Soon the Netherlands will also join that shitty countries club since they recently passed the law on taxation of unrealized gains.

It is becoming hard to follow the steps of good old warren b.

[Finebone]

I understand what you are trying to say here, but it makes no sense to get yourself in trouble by using high leverage just because of tax, knowing fully well that you are in charge of your margin, and if you lose everything in the process, the government wouldn't reimburse you for your losses, so too much high leverage makes no sense to me no matter what.

It definitely makes more sense to stay away from leverage if you have another way to benefit from the compounding effect. Most people rather prefer to change their tax residency than yoloing their income on leveraged bets.

Not everyone has that option though. Some people are stuck in those shitty countries that tax unrealized gains and they have no other choice than to go big or go home. Soon the Netherlands will also join that shitty countries club since they recently passed the law on taxation of unrealized gains.

It is becoming hard to follow the steps of good old warren b.

This is not just fair to those people residing in those countries because I believe that the government will never compensate them for their losses, but will want to benefit from their winning, that's crazy actually, but regardless of that, I still think that as a right thinking person, your interest should come first, that's why they should not let that to spur them into using higher leverage that may be costly to them, whereby they lost all their margin in the process of using higher leverage.

Trading with higher leverage can make a lot of money for you very fast, and it can also take a lot of money from you very fast, and the due to how volatile the market are this days, it's not logical to be trading with higher leverage if you want to stay long in the market.

[joeperry]

Honestly yes, I make money in high leverage before but I also lose a lot using high leverages. There are times where I forgot that I have some cryptocurrency left in my trading account that's been sitting there and usually it ranges around $10-20, and sometimes the tx fee is high and instead of losing most of its value to tx fee, I tried to gamble it using leverage. I don't usually use leverage higher than 3x but for this kind of money, it doesn't matter for me since I can afford to lose it and it's like wipe or triple it, so what I usually do is look for a pumping coin (usually low volume or newly listed) and I use around 30-50x leverage and keep the time frame at 1 minute and open a $10 position.

Most of the time, I'm losing but there are times where I literally tripled (or more) my $20 but most of the time my position always liquidates. I voted no because I didn't profit from high leverage in overall however I do make money of it before if you're lucky.

[Coyster]

High leverage is a NO NO, particularly for a newbie to trading. If you are new to trading, i don't think you should be using anything greater than 2x leverage, anything more than that would be considered risky and would increase the likelihood of liquidation or a margin call.

That said, maybe "experienced" traders could go higher than 2x or 5x leverage, as long as they do not forget to manage their risk efficiently. To put it simply, high leverage would help you maximize profit, with even a small shift in your advantage, but that is the same way it also increase losses substantially if the market does not go in your favor, so i voted no.

[Moreno233]

Yes, we know that high leverage is not good, many traders are advising people not to use high leverage. I am among the traders because I have very bad trading experience with high leverage. Let us see traders opinions on this thread to know if they make it after a long period of time with the use of high leverage or they later decided to stop the use of high leverage and trade with low leverage.

I assume 100% song us will choose No, I stop using high leverage butnlet us see if I am wrong.

Please I need only real traders to vote and post.

High leverage is not outrightly bad and it is wrong to make it look like it is bad for everybody. High leverage simply means high risk and high reward, so if you use high leverage, you either compound your account quickly or burn it very fast. This then boils down to how skilled a trader is to handle high leverage. Personally, I have separate accounts for different purposes such as for flipping small account and for gradually building bigger equity. The small account for flipping is traded with high leverage and I don't care if I burn it, I simply fund it back.

[noorman0]

Not even gradually, sometimes beginners are too confident with high leverage at the beginning after their TA is successful in several test trades.
How good the testing is, determines the quality of the TA is a real trade. Instead of reducing leverage, beginners even give up trading altogether. lol.

[SmartGold01]

One thing you must know about using a higher leverage is that you could get liquidated so easily when the market goes against your direction, but the higher amount you used the higher profits you could gain as well while trading. Same thing is applicable with using a smaller or lower leverage and thus when they goes against your direct you could barely lose huge amounts while trading but all remains the same because they all involved losing one capital the difference is higher volatility or lower risky while trading.

[ZAINmalik75]

I assume 100% song us will choose No, I stop using high leverage butnlet us see if I am wrong.

Please I need only real traders to vote and post.

I uses high leverage few time but high leverage which is above 50x is really risky and we should not take that high leverage if we are newbies. But many expert traders who have spent years training and been trading for some time, they understand the market better and they know the risks. They also know it is also about giving back, but newbie always thinks they are here to make money and when market take something from them.

They become agressive and they hold onto their lose for too long that it affects them mentally and they become emotional that's they they revenge trade and they end up losing the rest of their money in leverage trading. I will advice newbies to avoid future trading because it is highly risky for their capital therefore learn first.

[tvplus006]

...I assume 100% song us will choose No, I stop using high leverage butnlet us see if I am wrong.
Please I need only real traders to vote and post.

I don't use high leverage because low risk is more important to me than high profit. But I recently watched a streamer who increased his deposit from $1,000 to $62,187 online on Twitch from January 20 to February 24 using x65 leverage. If I hadn't watched it myself, I probably wouldn't have believed it.

[AVE5]

I vote "NO" due to my experience too, I haven't trade on high leverage though because I've always have the risk signals with my low leverage experience.
Key lessons is obvious that if I can really loose such certain low amount, that means I can actually loose the big amount and due to the trading orientation I was thought from the beginning, I don't have to trade with greeds especially with such a huge amount that my emotions can't afford to bear the risks of probability.
So high leverage trade isn't a strategy for me but that can't be entirely abolished because there're also trader's that makes it successful but best to their risk affordability while most may regret it.

[Zaguru12]

I don't use high leverage because low risk is more important to me than high profit. But I recently watched a streamer who increased his deposit from $1,000 to $62,187 online on Twitch from January 20 to February 24 using x65 leverage. If I hadn't watched it myself, I probably wouldn't have believed it.

This kind of social media videos are one of the things that actually influences the new traders to actually think they can also actually make quick profit from the market and possibly make life changing money from future trading and that’s why you see most use high leverage. One thing I usually say is this influencers most of them are trading coins which they hidden information about.

As for high leverage I cannot deny the number of times I have use and continue to make use of it but seriously there is one thing that I have always followed by and it’s using a tight stop loss such that when the market once it decides to go against me, I strictly adhere to this risk management.

[Japinat]

I think none of us here are blind with the benefits of using high leverage, but it also comes with high risk of losing your funds and making you broke in the long run.

This is the reason why I stop using leverage because it does work for me only at the beginning, but after that, losses are all what I acquired. So it made me realized that using high leverage when trading is a big NO especially for inexperienced traders in the market.

And reality is, there are more losses than profitable gains when you are trading, so its always best to stay cautious and responsible with your trading funds to avoid future regrets so you won't end up falling in the trap of using high leverage.

[Bitcoin_Arena]

I have never been a fan of very high leverage. In my newbie days while trading at Bitmex, I think the highest I used was 50x and I was so close to getting my position liquidated before it turned into a profit 

At the same time, I would see some platforms that offered 200x leverage and wondered how things really worked there. The higher the leverage, the more a trade looks like a gamble and the less chance of winning. The candles always seem to sweep off positions on either of the market prices. It's like someone knows exactly where your liquidation price/stop-loss price is, and as soon as you get liquidated/stopped, the price retracts in the opposite direction.

For high-risk coins or very volatile coins, even a 2x seems useless.

[passwordnow]

I voted no. And that's for the same reasons as the others, we know that high leverage isn't for everyone. But I admit that there are some traders that make use of it and able to make money there. It's not for me and also for the others that understands that it isn't what they like to deal with. Quick liquidations and I guess it's best to choose the spot risk than the high leverage. We can recover the losses from the spot even if we're around while for the high leverage, one mistake and miss time of the notification then your money is gone.

[Charles-Tim]

I don't use high leverage because low risk is more important to me than high profit. But I recently watched a streamer who increased his deposit from $1,000 to $62,187 online on Twitch from January 20 to February 24 using x65 leverage. If I hadn't watched it myself, I probably wouldn't have believed it.

I only see this as gambling in my own opinion. You can gamble and be lucky, but the person was lucky. It willm be good if the person do not continue to be using high leverage because he might win the money today and lose tomorrow. But some people have the talent to trade, he may have the talent but he needs to be very careful because high leverage is very risky and can turn someone that make money from trading back to losing all the money.

[tvplus006]

I don't use high leverage because low risk is more important to me than high profit. But I recently watched a streamer who increased his deposit from $1,000 to $62,187 online on Twitch from January 20 to February 24 using x65 leverage. If I hadn't watched it myself, I probably wouldn't have believed it.

I only see this as gambling in my own opinion. You can gamble and be lucky, but the person was lucky. It willm be good if the person do not continue to be using high leverage because he might win the money today and lose tomorrow. But some people have the talent to trade, he may have the talent but he needs to be very careful because high leverage is very risky and can turn someone that make money from trading back to losing all the money.

When trading, he used only BTC and in rare cases ETH. Actually, this trader has been trading BTC for the past seven years and as we can see, he is good at it. For trading, he always uses isolated trading and always uses a stop loss, which he sometimes moves. In the last two trades, he lost about $ 20k on a stop loss, after which he stopped his challenge. If it hadn't been for the last two deals, his profit would have been about $80,000.

[GreatArkansas]

I think the use of "high leverage" on some of your trades depends, and it will not always be "high-leveraged" trades you will do.
Because, from my own understanding, the use of it depends on your 1. Price entry, 2. Stop loss, 3. Price target.

For example, you are aiming for some move of the market, especially in just minimal price changes, but you have a price target and stop loss until it gets invalidated - so here you need to use high leverage.
Another thing is your risk-to-reward ratio, which will affect the leverage too.