Question:  I’ve reviewed your results and have to ask why your stop loss orders are so big.  Won’t I get a margin call, or blow my account with big stops?

Answer:  No.  Not unless you over-leverage your account.  I highly recommend that you leverage your account at 1:1 MAXIMUM!  That means that for every $1,000.00 you have in your account, you can trade a $1,000.00 position.  This comes out to about $0.10 per pip.  YES, that is “10 cents” per pip.  I know it’s not what you normally read in forums, blogs, and sales pages, but it is the reality of trading.  The exception to this rule is when you have a very small account which can be easily re-funded.  Just keep in mind, that if you over-leverage your account, you will lose all of that money.

There are other advantages to this method of leverage management.  You can find it all over my blog.