Less leverage = The sum of money you put just to start a position/s [ie margin necessity] will go up= leaving less money free on your account balance. If your transactions go against you in the exact same time, its easy to get margin called or perhaps blow up. The majority of your money will probably be locked up in margin, instead of floating freely in the event of poor transactions.Quote:
Originally Posted by ;
If someone doesnt care for money management, they are still likely to exchange massive lots than their account can afford, without leverage.Quote:
Originally Posted by ;
At least that how I understand it.
