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  1. #11


    Quote Originally Posted by davidblack View Post
    Leverage is the factor by which you multiply the size of a particular trade by borrowing somebody else’s money (your broker’s money). For instance, you might open an account with $10,000 (your total margin), and then use leverage of 50 to 1 (50:1) to make a trade on $50,000 of currency by using just $1,000 of your own money and borrowing the rest.
    Leverage will increase your capital but in the same time there is a huge risk of making losses in the same multiplication, and that is why you should nit be lured by leverages.

  2. #12
    Junior Member
    Join Date
    Jul 2014


    Thanks for explaining this complex term. It is a very nice explanation for the beginners who wish to learn more about Forex.

  3. #13
    Join Date
    Jul 2015


    leverage is the leverage provided by the broker. Leverage is very profitable for traders especially with trading using high leverage then we will be trading with small capital. If we choose leverage 1: 1000 then it means we can trade with a 1000-fold of our capital

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