We’ve been answering the same questions for years. On streams, in Discord, in emails on websites, in person i even wrote a post about this 6 years ago.
- “Is 1:100 leverage risky?” no
- “Is my 100k account really just a 5k account?” Seriusly? NO.
- “Should I risk 1% per trade?” it depends, but most likely not the way you think.
So instead of repeating ourselves for the 400th time, we currently building somethings:
Trading Decoded
Trading Decoded is a new section on the site. Not a glossary. Not a FAQ. Not a “trading education” course trying to sell you something.
Most arguments have two sides. and not staight forward. So this collection of trading concepts and prop firm rules, explains it in the way we hope one get it. No fluff, no sugarcoating,
There are currently three categories:
- Trading Basics the textbook stuff. What is leverage, what is margin, what is a spread.
If you’re new, start here. It won’t insult your intelligence. - Trading Reality the stuff that actually matters but nobody talks about properly. Position sizing is NOT “just risk 1%.” Leverage does NOT mean more risk.
If you’re checking your margin level before opening a trade, you’re already doing it wrong. These cards don’t hold back. - Prop Firm Rules drawdown types, consistency rules, profit targets, floating loss, and why a $100k and $5k is NOT the same.
straightend out rules and myths in small chunks.
Every prop firm rule gets the two-sides treatment, as there is always more to the rule than what is on paper, the firm has a intention on imposing those, the same rule can look bad or good depending on how it is combined with others. .. in short, this things are not black and white.
We’ve been writing about this stuff in the prop firm section and in the fine print comparisons. Decoded takes the individual concepts out of those pages and explains them on their own terms, with cross-references to where they show up in practice.
The reality section will tackle the things that actually determine whether you make money or not, almost none of them have anything to do with your entry or exit.
If you’ve ever argued with someone in a Discord about leverage and risk, send them this link. If they still don’t get it after the credit card example, better convince them to get another job.
if there is something missing, feel free to comment here on this page, it will be added!
