Protect Your Account From Over Leveraging
When trading using any signals, systems, indicators or ea's, it is important that you use an appropriate lot size for your account. For smaller balances, it is always recommended to use a lower lot size so that you will be able to withstand the swings in the market. Over-leveraging your account is also something you want to avoid and it can lead to a margin call. Using a smaller lot size is always safer than using a bigger. Of course, you have the choice of using any lot size that you want but we at Dux Forex want to make sure that you are as safe as possible. We suggest using the following:
Starting balance between 1-750 use 0.01
Starting balance between 750-4000 use 0.10
Starting balance between 4000 an above use 1.00
Note that these are only suggestions, you can tweak/adjust your lot size according to your desire and you do not have to use these. If you know what you are doing as a trader then, by all means, proceed with your chosen size. You can also take multiple smaller lot sized trades and liquidate each trade at certain levels. This strategy is mentioned here in our pip locking method article.
You can adjust the size of your lot at any time before a trade is triggered. For example, if you placed a pending order at 0.10 and wanted to change that same order to 1.00 instead, you can simply double-click the pending order from the Terminal section, and modify the lot. In MT4, lot size is called "Volume". It shows in the 4th column on the terminal section under "Size". It is important that you make sure that your size is set according to what you want because once a trade has been triggered, you cannot change the lot size of the trade obviously.