Use Leverage
Use Leverage
17 Dec 2020, 10:16
Good day!
I am a Beginner exploring the sample trading bots made available by cTrader on their application. With the bots I see that the account has a balance of 10,000(units of currency) However some bots can make use of more capital still. The Martingale bot can trade values of 512,000(units of currency) but the account only has a 10,000(units of currency) balance, how is this possible?
Further if I wish to leverage a trade on a currency pair, how can this be done? (what is the syntax?)
I saw on the API refence guide that there is a Leverage property however I don't know how to apply this to my trades.
Any help would be appreciated.
Leon
Replies
leonavonm
17 Dec 2020, 12:07
( Updated at: 17 Dec 2020, 12:45 )
RE:
PanagiotisCharalampous said:
Hi Leon,
It is possible to open positions with a volume higher than your balance because of leverage. There is nothing you need to do to enable it, it is a built in feature. If you have a leverage of 1:100 and 1000 units balance then you can open positions worth of 100000 units.
Best Regards,
Panagiotis
Thank you Panagiotis! I thought that might be the case. Will this also relate to the reason that I cannot make trades with lots of 0.001? Or are these two problems not related?
I get errors saying "Your request to Buy 0.001 lots of EURUSD was not sent because the volume of the order" or is this a consequence of the variable types(double vs. long) which causes the problems?
@leonavonm
PanagiotisCharalampous
17 Dec 2020, 16:15
Hi Leon,
The reason is probably that your broker does not allow trading such a low volume. As far as I know the minimum is 0.01 Lots.
Best Regards,
Panagiotis
@PanagiotisCharalampous
leonavonm
18 Dec 2020, 09:13
RE:
PanagiotisCharalampous said:
Hi Leon,
The reason is probably that your broker does not allow trading such a low volume. As far as I know the minimum is 0.01 Lots.
Best Regards,
Panagiotis
And there is no way this can be changed? I would really like to see what the martingale can do when it starts using 1(unit of currency) then 2,4 etc. Instead of using 0.01 lots since this is much more costly and in most cases blows up the account, I think that if the martingale is applied in a way as to not get rich fast but rather to secure a position it might be successful but I don't know how to change these settings because I am sure that there are Forex brokers that allows trades of less than 0.01 lots to be made. Can this be done artificially by increasing the capital in the virtual environment to 1,000,000 or is this not possible?
All the best
Leon
@leonavonm
PanagiotisCharalampous
18 Dec 2020, 09:50
Hi Leon,
The minimum volume is decided by the broker, so you need to talk to your broker regarding this.
Best Regards,
Panagiotis
@PanagiotisCharalampous
PanagiotisCharalampous
17 Dec 2020, 10:59
Hi Leon,
It is possible to open positions with a volume higher than your balance because of leverage. There is nothing you need to do to enable it, it is a built in feature. If you have a leverage of 1:100 and 1000 units balance then you can open positions worth of 100000 units.
Best Regards,
Panagiotis
Join us on Telegram
@PanagiotisCharalampous