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Novice traders should really start trading with no leverage, until they are comfortable with what their doing and my own view is - that a leverage of 10 - 1 is plenty for most traders. Money management and preservation of equity, is the key to making money long term In Forex trading.

Always assume the worst first on your positions and things can only get better! As the old gambling saying goes: If you want to win you need to bet but you can't bet without chips" It's a fact that professional poker players make excellent Forex traders. The reason for this is they always have their eye on equity preservation and are not bothered about taking losses. They know they have to pass hands by and fold hands, if the odds are against them.

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