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Leverage in the forex


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Leverage is a loan facility in the forex market. The broker provides the loan to its trader so that traders can trade big even with small capital. However, it is a double-edged sword. It also exposes risk in trading. Traders may even blow their accounts for using high leverage. Almost brokers provide high leverage in forex trading. My broker Eurotrader isn’t any different However, I only use a small portion of their leverage on how much I can tolerate risk.

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6 hours ago, Nilde Lucchese said:

Leverage is a loan facility in the forex market. The broker provides the loan to its trader so that traders can trade big even with small capital. However, it is a double-edged sword. It also exposes risk in trading. Traders may even blow their accounts for using high leverage. Almost brokers provide high leverage in forex trading. My broker Eurotrader isn’t any different However, I only use a small portion of their leverage on how much I can tolerate risk.

I have seen many of the traders are using HIGH Leverage settings but they need to make use of the Lower Trading Leverage settings.

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