What's the Best Leverage for $5000 in XAUUSD?
The best leverage for $5000 account is 100:1 leverage. This is the leverage ratio in gold that is also used by professional traders.
With 100:1 leverage when you open an account with $5000 you will have capital of $500000 to open trades with - with 100:1 leverage it means your broker gives you $100 for each one dollar that you have in your trading account. Therefore, if you have $5000 dollars - $5000*100:1 Leverage is equal to $500000 that you can trade with.
In XAUUSD with $5000 dollars you can control $500000 dollars capital to trade with after leverage option of 100:1
What's the best leverage for $5000 when gold trading? - 100:1 Leverage
What's the best leverage for $5000 when xauusd trading? - when trading with $5000 you should come up with your equity management principles that you'll use to manage your trading account capital. These set of gold money management principles should be written in your plan. If you are a beginner trader wanting to open a $5000 dollar account & you don't know what equity management principles are, you can use the learn tutorials below to learn about what's money management?
How Do I come up with money management rules for trading a $5000 dollars account.
Trading with Leverage
The more leverage you use the greater the profit/loss
The less leverage that you use the lesser the profit or loss
It's hence better to use less leverage to minimize risks involved. The higher the leverage used the greater the risks. This is one of leverage rules not to trade with more than 5:1 leverage.
In leverage rules: It's always advisable to stay below 10:1 which is still high, most professional funds managers use 2:1 ratio in their trading account.
To Learn & Know More about Leverage & Margin - Read the Topics Below:
Gold Leverage and Margin Discussed
