Loaning to trade

[rexway]

loaning to trade is very bad in forex trading so all that we need to do is follow the right track which can help us gaining when our knowledge meet with opportunity what we get is nothing but complete succees

 

[Pettyeve]

Loaning to trade is not good because if you lose that money that you loaned, you will forever hate yourself. If a trader is not having enough trading capital to trade, it is better that he or she saves money to trade because forex is risky and you can be able to lose all your money in it.

 

[Decub]

Personally, I don't see anything bad in a trader loaning to trade. Provided he has the knowledge and know the percentage in range of profits he makes, there is nothing bad in doing so. Some successful traders that I know record losses sometimes and profits other times but if it's taken cumulatively in a month, they make profits after all so if they take a loan, it's basically the same.

 

[tray]

Its not good for any trader to loan money to trade because forex trading seems too risky for sure and we could lost our investment and enter into trouble with the person that lean us the money also consider that you could lost huge in a minut

 

[lioneld]

I don’t think, small trading capital is not such a big problem here if traders have enough knowledge! Because, knowledgeable Forex traders can pick up almost all of trading opportunities! That’s way, pro traders are earning huge amount of money.

 

[Tom Latham]

Yes right because forex market is very dynamic, and about psychological factor is big reason on trading, when borrow money it can leading you to chasing profit because you have target to pay loan, but forex market is very fierce and no mercy, we can losing easily

Without proper trading knowledge, there is no way to survive here! I have already seen, so many traders left this market after losing the big amount of money! That’s way, my suggestion is; if you are not sure about your trading skill, don’t invest your real money.

 

[Max Trade]

So many negative reviews in forum communities about demo trading. And it is one of the major reasons why new Forex traders are discouraging from this trading place. Practically you could not earn real money from demo but of course you could earn real trading experience from here. Now it’s your choice.

 

[Svetlana Loboda]

loaning to trade is very bad in forex trading so all that we need to do is follow the right track which can help us gaining when our knowledge meet with opportunity what we get is nothing but complete succees

I absolutely agree with your opinion! I think, small trading capital is not such a big problem for the good skilled Forex trader! A good trader easily can track most of the market opportunities! That means, end of the month, enough number of profits!

 

[sininfinity]

So many negative reviews in forum communities about demo trading. And it is one of the major reasons why new Forex traders are discouraging from this trading place. Practically you could not earn real money from demo but of course you could earn real trading experience from here. Now it’s your choice.

Some people promote demo contests and besides that most of the people who participate in discussions do not say negative things about demo trading. There are many discouraging issues for newbies and demo is not one of them.

 

[Lee Mark]

Its not good for any trader to loan money to trade because forex trading seems too risky for sure and we could lost our investment and enter into trouble with the person that lean us the money also consider that you could lost huge in a minut

I agree with you; actually good traders don’t need to invest such a big amount here since they are able to identify the maximum good opportunities! But a decent initial investment is always helpful! I know few successful traders who are making huge money here although their initial balances were below 1K.

 

[Gerald Davydov]

Sometimes, some traders who are just knowledgeable in the business complain a lot about small capital and a major hindrance to why they are not making it big. They would want to trade as though their life depend on it since their experience can prove it to them. That makes me wonder why a trader wouldn't take some loans if he wishes to earn big provided he has the skills to see him through. If he can topple his capital by at least 10% in a month, then there is nothing stopping him to take a loan with 7% interest and repay after some time.

If you have adequate experience but less capital to trade, would you obtain a loan when the need arises?

Trading itself is the most risky business in the world. And when you are taking loan to trade, you are actually multiplying your risk. Trading should be done with idle money. Money that you can afford to lose. Yes you can trade with other's money on profit sharing basis. But for that first you have to prove your consistency in profit making.

 

[lioneld]

Trading itself is the most risky business in the world. And when you are taking loan to trade, you are actually multiplying your risk. Trading should be done with idle money. Money that you can afford to lose. Yes you can trade with other's money on profit sharing basis. But for that first you have to prove your consistency in profit making.

Good point out; yes trading is a mental game; so if there have any additional mental pressure that would be costly for sure.

 

[sininfinity]

Trading itself is the most risky business in the world. And when you are taking loan to trade, you are actually multiplying your risk. Trading should be done with idle money. Money that you can afford to lose. Yes you can trade with other's money on profit sharing basis. But for that first you have to prove your consistency in profit making.

The thing is if you don't take load (leverage) then you can not make decent profit in the market. So it is necessary to take a loan from the market to enter a position and use your own fund to manage the trades.

 

[lioneld]

The thing is if you don't take load (leverage) then you can not make decent profit in the market. So it is necessary to take a loan from the market to enter a position and use your own fund to manage the trades.

Yes, leverage is important but; we have to understand the standard ratio of leverage. Personally, I don’t like to use more than 1:100 leverage in all kind of trading accounts.

 

[sininfinity]

Yes, leverage is important but; we have to understand the standard ratio of leverage. Personally, I don’t like to use more than 1:100 leverage in all kind of trading accounts.

Well it's your personal choice and a good one. I myself like to use 1:500 leverage. As long as I am not doing anything stupid with my lot size, leverage is not hurting me. And I have learned my lesson on abusing leverage.

 

[lioneld]

Well it's your personal choice and a good one. I myself like to use 1:500 leverage. As long as I am not doing anything stupid with my lot size, leverage is not hurting me. And I have learned my lesson on abusing leverage.

Nice to know, but how many trades (maximum) do you open in your account? Yes, on different trading pairs?

 

[sininfinity]

Nice to know, but how many trades (maximum) do you open in your account? Yes, on different trading pairs?

Well normally I run one or two trades. But there are times when I run multiple trades at a time. But my first priority stays within how much of my capital I am risking.

 

[lioneld]

Well normally I run one or two trades. But there are times when I run multiple trades at a time. But my first priority stays within how much of my capital I am risking.

On multiple trades, I hope you apply this method on different pairs isn’t?

 

[Rafinha]

A foreign currency exchange trader may lack capital so it can be somehow troublesome for them to take participate in trading with such smaller amount. I personally think that those traders who lack funds can borrow funds from his broker with the use of leverage. But higher leverage can be risky but with the proper management of funds a trader can trade efficiently with the moderate leverage level.

 

[lioneld]

A foreign currency exchange trader may lack capital so it can be somehow troublesome for them to take participate in trading with such smaller amount. I personally think that those traders who lack funds can borrow funds from his broker with the use of leverage. But higher leverage can be risky but with the proper management of funds a trader can trade efficiently with the moderate leverage level.

Absolutely, you are right on the leverage concept. By the way, what’s your current leverage? For me, it’s 1:100 only.