[ 3 / biz / cgl / ck / diy / fa / ic / jp / lit / sci / vr / vt ] [ index / top / reports ] [ become a patron ] [ status ]
2023-11: Warosu is now out of extended maintenance.

/biz/ - Business & Finance

View post   
File: 163 KB, 1702x1384, pepe-smirking-served-champagne-by-wojak.gif [View same] [iqdb] [saucenao] [google]
29825664 No.29825664 [Reply] [Original]

So if I trade with $100 at X100 leverage the most I stand to lose it $100 but with the potential to gain with $10,000?

Remind me again why people hate this and encourage people not to do it?
People dont really trade with their entire stack, do they?

>> No.29825716

>>29825664
>So if I buy a lottery ticket with $1 the most I stand to lose is $1 but with the potential to gain $10,000,000,000?
>Remind me again why people hate this and encourage people not to do it?

>> No.29825847

>>29825716
Because a lottery ticket is a 1/10000000 chance of winning

lets say I did no TA whatsoever and just opened a trade at random, the chance would be 1/2. It either goes up or down, by my reasoning that is MORE ethical than the lottery

>> No.29825866

>>29825716
Not same thing, with leverage it either goes up or down with lottery, you know

>> No.29825911

This is true? Or is op dumb

>> No.29825958

>>29825664
wtf bros is this true? why isn't everybody rich already?

>> No.29826011

explain me how leverage work please, i have only 10 ADA, what can i do to get more

>> No.29826039

>>29826011
Sell and buy more at .35 later this week

>> No.29826078

You people are inexcusably dumb

>> No.29826084

>>29826011
Sell them, wait for the inevitable correction and buy more.

>> No.29826142

>>29826039

You are the type of person to fomo in @ 2$ :)

>> No.29826159

>>29825664
maintenance margin, and your magin account balance. you would risk losing your entire account. you wouldn't be able to get that much leverage if you went all in with $100.

>> No.29826166

>>29825664
Not an expert, but my basic understanding is you need the capital in your account to cover the trade if it does go down. Please correct me if im wrong.

>> No.29826222

>>29826166
you don't at all. you need a certain amount of maintenance margin. he would get liquidated, lost most or all of his account, his other positions would be sold off and the proceeds used to pay off his debt. Crypto margin lending tends to have an insurance system in place so he won't have to go into debt past losing his margin account balance. but, suppose he has 2k on there, that might all get eaten.

>> No.29826249

>>29825716
My dad is a boomer who called buying lottery tickets an "idiot tax" until one of his co-workers won 4 million from the state lotto and retired.

>> No.29826279

>>29825847
>if i buy a lottery ticket without knowing the odds, the chance would be 1/2. I either win or lose.

>> No.29826280

>>29826222
Checked and thanks for the clarification

>> No.29826347

>>29825847
>lets say I did no TA whatsoever and just opened a trade at random, the chance would be 1/2.
Nope. The chance is less than 1/2, because it can wick down to your liquidation price and then rocket back up to your target

I've traded a lot more margin than you.

>> No.29826636

>>29826347
>I've traded a lot more margin than you

I dont doubt it, hence why I made this thread to learn more about the system.

>> No.29826680

>>29826159
What If I had a separate account with only $100 in there? Then I only stand to lose $100 regardless

>> No.29826699

>>29826680
You get liquidated within seconds due to how volatile crypto is unless if you time it absolutely perfectly.

>> No.29826850

>>29826636
I would advise against trading margin unless you have a provable, backtested edge to your analysis and your money management system has decent risk reward with minimized (read: 0%) risk of ruin.

Even 5-10x margin is risky.

otherwise you're just gambling

>> No.29826927

>>29826680
You can open isolated positions, which only place the amount risked in the position at risk of liquidation. What the other person described is called cross margin.

>> No.29827027

>>29825664
sir your suggestions are how people get absolutly rekt.
please start thinking about your decisions so your mother loves you again.
she told me last night she likes dHEDGE

>> No.29827088

>>29826699
Digits confirm. Literally probably as soon as you hit buy, you would be instantly liquidated and probably owe them like fifty bucks.

>> No.29827230

>>29826249
Your dad is right tho.

>> No.29827290

>>29825847
>the chance of a coin going down 1% aor going up 100% are the same
Okay

>> No.29827346

You’re all actual brainlet retards.

You can’t get x100 leverage with a shitty poorfag account.

>> No.29827560

>>29827346
>You can’t get x100 leverage with a shitty poorfag account.
newfag retard

>> No.29827700

>>29825664
wait so if u put 100 and it goes down and u see -10,000 then u have to pay 10000? how does that work thats not fair!

>> No.29827702

>>29827346
Literally anyone can you fucking brainlet