Is it possible to get into debt with forex trading if you use leverage and stop losses?

[spaw]

Hi, I trade binary options, which I can earn at most $50 to $100 a week with a fair amount of effort. I'd like to start trading forex by depositing a minimum of $100 or $200 and using 1:100 leverage with a stop loss and a minimum risk-reward ratio of 1:2 to start making a few dollars in profit. Today, after doing some research, I read about people who, even though they had a broker who blocked their account at a loss (I'm guessing people without a stop loss), lost everything and went into debt because the market gapped well beyond the amount of their account. Hence my question: is it possible that the broker doesn't detect my stop loss or doesn't close my account in time, thus causing me to go into debt instead of making money?

 

[MrHyoyatika]

Yes.
Losses can exceed your deposit.

However, many brokers now offer protection against incurring losses largely than your deposit/capital. If that is your concern, find one that offers that.

 

[The Cube]

Further to previous answer:
A stop loss offers no guarantees; it is simply a level at which your order becomes a market order. Look up and understand the very real risk of slippage. You can protect yourself with guaranteed stop losses (at an additional cost) with some brokers. And if you are a UK retail trader, properly regulated brokers should offer you a negative balance guarantee.

PS binary options are a hiding to nothing, they are pure guess work. Appreciate you say you are profitable, but it won't last. You cannot get an edge with binaries.