I am a new trader learning about Forex and leverage ratios. My question is regarding the process of withdrawing money from an account.
I wonder if this is my misconception:
If I deposit $100 with a trade broker that leverages 100:1, that will amount to $100,000 of tradable capital for me.
Let's say I double my money and have $200,000. If I want to withdraw half of my earnings, logically (to me), the money will be then be divided by the 100:1 ratio.
Does that mean I make $100, or is it more complicated than this?
Thanks
I wonder if this is my misconception:
If I deposit $100 with a trade broker that leverages 100:1, that will amount to $100,000 of tradable capital for me.
Let's say I double my money and have $200,000. If I want to withdraw half of my earnings, logically (to me), the money will be then be divided by the 100:1 ratio.
Does that mean I make $100, or is it more complicated than this?
Thanks