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Topic: DONT GIVE ME FISH - page 2. (Read 299 times)

copper member
Activity: 2940
Merit: 1280
https://linktr.ee/crwthopia
October 03, 2022, 10:12:44 AM
#5
So you are saying that many people with a lot of eagerness to learn about wealth would need the assistance with it to obtain wealth? It's like you're asking for a coach or something.

There are many ways to have higher returns, but it will most likely be harder to have more risk to have that kind of return. Don't you think so? Many people are into teaching people about trading, and then you need to be more patient and become accustomed to trading itself.
hero member
Activity: 1484
Merit: 597
Bitcoin makes the world go 🔃
October 03, 2022, 10:08:03 AM
#4
I hope what risk you are entering by discovering leverage trading. It's true that you can earn quickly on this kind of high leverage trading but the risk involved is too high for a newbie like you to handle. This is already a gambling so I won’t recommend it at all for to try it unless you have enough experience already on trading.

To give you an idea. By the word itself leverage, You can borrow a money to exchange in equivalent to your leverage multiplier. So if you have 100$, You can borrow up to 10,000$ or equivalent to x100 leverage but this incorporate to a liquidation margin is very low if your leverage is high or vice versa. Simply you are borrowing money in exchange for a risk of liquidation of your position. I believe the youtube video explain it all to you.
copper member
Activity: 2856
Merit: 3071
https://bit.ly/387FXHi lightning theory
October 03, 2022, 10:04:14 AM
#3
I'd recommend getting used to paper trading and spot before going in with leverage. It's damaged a lot of portfolios - most of the time because people don't know how to manage risks.

Leverage essentially lends you money given your provided collateral and allows you to trade with more. If you put down $1000 and wanted 20x leverage, the exchange would lend you the other $19000 and you'd be able to trade with that. The catch is you'd then get all your funds wiped if the asset drops by about 5% (or a twentieth in price). You also have to pay a funding rate every 8 hours (with most exchanges) to cover the interest of the "loan".

There's no way an account can go negative but a good chance it can go to 1% if you're not doing diligence on risk management and don't incorporate it into a strategy (such as limiting trades to 1-5% of total funds in the futures account and then customising that based off success rate).
legendary
Activity: 1652
Merit: 1208
Gamble responsibly
October 03, 2022, 09:58:52 AM
#2
You may learn how to trade but start to be losing. Use the amount of money you can afford to lose to trade.

If you want to leverage, it is tempting to use 2x up to 125x on exchanges, like OKX or Binance, or up to 200x on exchanges, like on Huobi global. Better not to leverage at first. Use 1x is better.

Spot trading is risky, not to talk of margin or future trading which are far riskier.

I started to leverage in trading with $2000 and I lost all in just less than 2 days. Do not make such mistake. Although, I have learnt and I am better now, but it would be better to avoid that by using the amount of money you can afford to lose.



If you want to leverage, you need to either go for margin trading or future trading (derivatives).

For margin
You can borrow up to 3x - 10x if using margin trading on most exchanges. In market trading, spot market price is used.

Future trading
Not using spot market price but derivative market price in a way you can leverage too, but without borrowing. This is my best option that I prefer. The derivative market price is almost similar to sport price with just little difference in prices.



If using margin trading, you can only buy just like spot market, and sell for stable coin or other coins. But the advantage of future trading is that you can go long (buy) or short (sell).

If you go long using BTCUSDT and the price of bitcoin is increasing, you are gaining
If you go short and the price of bitcoin is reducing, you are also making profit
If otherwise, you are losing.

The higher the leverage used, the closer the price of liquidation.

Try and use exchanges like Binance, OKX or Huobi global or anything trustworthy exchange for practice. One of the advantage of future trading is that you can start with low amount of money, but this could also depend on the exchange you are using. I remember when I was using Binance, I was able to use less than $1 (like $0.25) to either fo long or short, but I do not know if that is still possible.

Leveraging in trading is very risky, the higher the leverage the higher the risk.
jr. member
Activity: 32
Merit: 2
October 03, 2022, 09:39:14 AM
#1
A man who needs an assistance about wealth, once and never again, will initially turn down an offer of wealth, and insist on learning how to make it (wealth).

I am curious about higher returns on trade. I have heard about leverage and actually checked on YouTube for better explanation. I want to know how it works! I believe better explanation will be from those who have actually used it in their trade. Please!
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