Are you in favour of using leverage?

[robin000]

Can someone please tell me what's the difference between leverage and margin?Does leverage mean the additional amount extended by our broker as against the cash limit available in the trading account?What's the extent to which leverage can be availed?Is it available for day trading as well?
Thanks in advance

Hey rahul
check this link out http://www.investopedia.com/ask/answers/06/leverageandmargin.asp.
leverage is available upto 500 times the actual money, but this is forex only , as far as stocks, futures etc are concerned i think its not more then 30 times. icici provides close to 30x leverage on some particular stocks, other than that 2-10x is available with most of the brokers.
according to my experience high leverage is mostly used in daytrading, i am not too sure what everybody think about using leverage on short term or long term trading
I hope some body more experienced can correct me if I am wrong, and explain in a better way.

Regards
Robin..

 

[sudoku1]

according to my experience high leverage is mostly used in daytrading, i am not too sure what everybody think about using leverage on short term or long term trading
I hope some body more experienced can correct me if I am wrong, and explain in a better way.

leverage can b used even in positional trades & commodities where a trailing stoploss along with rolling over positions month aftr month can b done till the stoploss gets hit

in my view ,nifty futs is less riskier & more liq among all which deserves a true leveraged trader...of course positional..

 

[vinodmg5]

one ventura relationship agent told me following brokerage pattern.....

1000rs.
intraday-0.03%
delivery-0.30
option-35rs per lot
2000rs.
int.day-0.025
delivery-0.25%
options-35rs
5000rs-
intaday-0.025
delivery-0.17
and he given me another attractive option to chose 7500rs.plan+to input50000rs.for trading money at the time of accont opening and he will charge
intraday-0.01
delivery-0.10
option-35rs per lot.
so memebers pls kindly guide me.whether there is that advance system in ventura or he cheating me.i dont know about their branch he told me through phonecalls and email.
pls guide

 

[supremo]

in my opinion, leveraging is good for long term and for those who have a good trading system... :thumb:

Check some checklists and guidelines for buying/selling stocks...

 

[4xpipcounter]

I need leverage. I can't make money without it. There is additional exposure to losing more capital, but that is where a sound methodology comes in at, which is also a part of employing proper management principles.