Leverage affects the size of the position, but not the risk itself, if it is set in advance.

Example:

You decided to risk $50 and set a 5% movement against you.

This means your total position = $50 ÷ 5% = $1000.

Now let's add leverage:

1x – You use your $1000, a loss of 5% = $50.

10x – You take $100 as collateral, but manage $1000. A loss of 5% = $50.

100x – You take $10 as collateral, but manage $1000. A loss of 5% = $50.

In all cases, if you initially set the risk at $50, it will remain that way, regardless of leverage. The main thing is to correctly calculate the position size before entering.

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