Disliked{quote}FTMO want to have their cake and ear it. They give 100/1 leverage, which is obviously far too much for any sensible risk management given the drawdown limits. No one needs $10 million of buying power with $10,000 worth of initial drawdown. Higher leverage = more failures, more failed challenge accounts and more fees. However, when people are funded they can take action based on people using the same leverage that causes / part causes others to fail. If they cared about helping their trades manage risk they'd limit the leverage.Ignored
Here's the thing: if you're a smart trader who sticks to, let's say, risking just 1% of your trading capital on each trade, whether you're using 1:30 leverage or 1:100 leverage, the risk is the same, right? It is still 1% doesnt matter the leverage.
And when you've got a decently funded account or you're in some trading challenge with a healthy balance, the whole leverage debate seems kinda irrelevant. As you can take several trades either way with such an account. whether its high or low leverage account. If you are taking 20 1% trades at once, because of you have a 1:1000 leverage then... you are just plainly dumb. Its not the leverage fault that you decide to casino your account.
The leverage is useful for Traders that use very small accounts, as those wouldnt normally be able to trade at all without the help of leverage.... and well lets face it.. normally you shouldnt be trading to begin with, with such a small account as its simply put rather useless and a waste of time.
So either way trading with a small account is pretty much a gamble, as you cant even manage your risk properly to begin with.
The subconscious mind is in control, not the conscious mind.
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