Margin is not that bad though as long as the trader is not greedy. Most times if you are good trader and you still make do with a very reasonable leverage level, you should not get caught up in a very bad trade without at least getting out and losing just few.
However, I have never been a fan of margin trading, considering it is more or less a huge gamble which could make you loses so much, and I would rather trade more like investing in the normal way.
But even if you are not greedy, what happens when there is sudden spike when you are doing shorts, or what if price flash crash when you are doing longs? It is very tricky because you always psychologically look at stop losses as percentage of price, but with margin, this stop loss can lose you 5% or 10% easy, just for being there when orders all trigger at spikes and crashes.
No point in margin, just be patient,,, it is truly a gamble. Win big, lose bigger.
What you just said is the main reason why you should never joke with your stop loss if you are threading this path. I always tell those who care to listen that if you are going the leverage way, then you should make sure that as you are entering a position, you are setting your stop loss as well either you are going long or short in the market.
A lot of newbie traders miss this part which is why they tend to lose a lot in the process and once you run out of liquid, you are done. I really do not advise margin trading for those who do not have the knowledge to minimize the risk. Better to trade normal market instead.