Golden Tips: When to Avoid Using Leverage? ⚠️

1. During Wild Fluctuations:

- If the market swings +5% every hour (like news of war or interest rates) ← leverage turns fluctuations into catastrophic losses!

2. Before Major News Releases:

- Such as U.S. Non-Farm Payroll (NFP) reports or central bank decisions ← the direction is unclear, and leverage could liquidate your account in minutes!

3. If You Are a Beginner:

- Leverage requires experience in risk management ← start with 1x-2x leverage until you master technical and fundamental analysis.

4. When Liquidity is Low:

- In currencies or assets with low trading volume (like some Altcoins) ← difficulty in closing the trade at the desired price!

5. If You Don't Have a Plan:

- Leverage is not for random betting! Without a stop loss or profit target ← you are putting yourself in a financial Russian roulette.

6. When Portfolio is Concentrated:

- If 80% of your capital is in one trade ← leverage will multiply the risk to the point of collapse!

7. If You Are Under Psychological Pressure:

- Fear or greed alters your decisions ← leverage will amplify your emotional mistakes.

8. When Using High Leverage (50x+):

- Even if you are a professional ← the market may move 2% against you and liquidate all your capital!

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Practical Example:

- You anticipated a rise in #Bitcoin and used 50x leverage.

- The price dropped only 1.5% ← you lost 75% of your capital! 💥

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Reminder: Leverage is a sharp knife.. use it only when:

- The market is stable.

- You have a clear plan.

- You manage risk with a stop loss.