Thankfully, we have margin calls in forex that alert us when we need to add more money to our trading account. But, getting margin calls is not good for trading, as it means your strategies aren’t working the way you have wanted them to.
Important thread for newcomers to read and understand. So many automatically say that high leverage is risky. I say that misuse of high leverage is risky. Once you understand margin and ensure you use it wisely, higher leverage can be a very powerful tool for you.
To avoid a margin call, traders should monitor their account balance and use stop-loss orders to limit potential losses. Proper risk management is crucial to avoid a margin call.