What is leverage? ⚙️📈
Leverage allows you to trade with more money than you actually have.
For example:
If you use 10x leverage, with just $100 you can open a position as if you had $1,000. 🤑🤑🤑🤑
🤔🤔🤔🤔
Why is it used?
To increase profits... but it also increases losses!
And what is cross margin? 🔄💸
Cross margin uses your entire account balance to cover a position.
If a trade goes wrong, it can affect your other funds and liquidate everything.
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Why is it dangerous to combine them? ⚠️💥
High leverage + cross margin = Extreme risk
You can lose faster
A bad trade can wipe out your entire balance
There is no fixed limit: the system will use all your available money to avoid liquidation... until it's gone.
Golden advice for beginners
Start with low leverage (2x–3x) and use isolated margin and better with guidance, set a stop loss and stick to it.
This way, if you get liquidated, you only lose what you put into that trade.
-Always do your own research