Please help me understand leverage and why shouldn't i use something liek 2x or 3x
I am new to this, but from what i understood your investment or trading will be wiped out only if it hit 100/leverage no
Loke of. You have 10x leverage
Then the maximum low you can you is 100/10 equal 10 percent, if it hit that or lower you get wiped out
But if you do a 2x or 3x or even 4x you are dealing with a 25-50% wipe out, which for my view is very very unlikely for things like etfs, or some certain stocks like nvda, mu, sndk, so why dont i invest on these type of etfs or stocks with leverage
Not to mention you can add a stop loss to remove any negative near zero trades.
Sorry if this is a stupid question but i am genuinely trying to understand here, am i looking at it right?
Posted May 28, 2026, 10:53 AM UTC
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