look for quick trades, but as to positional traders, they often trade with low leverage amount. Usually in Forex Market 1:100 leverage level is the most optimal leverage for trading. So whats the problem with high leverage? Calculate the Margin Available, the Margin Available value is the greater of 0 and your Net Asset Value minus your Margin Used. In the case of non-dollar base currency (in the numerator we should add another step obtain always the dollar value. The size of leverage is not fixed at all companies, and it depends on trading conditions provided by a certain Forex broker. Treat it as an ally, but dont push it too much, otherwise it will turn into your worst enemy. Therefore, a trader only risks his / her deposit and owns nothing to a broker in case of loss. The broker will provide coverage as long as there will be funds on his clients account, in this case up to 50,000 usd of loss. In other words, leverage is a borrowed capital to increase the potential returns. No K) holds a Capital Markets Services Licence issued by the Monetary Authority of Singapore and is also licenced by the International Enterprise Singapore.
I can simply use the quantities I want. 2137 Institute Financial Futures Association subscriber number 1571. When trading on margin, both profits and losses can be magnified. It is authorised and regulated by the Financial Conduct Authority, No: 542574. In addition, you can easily find on the internet some automated pip value calculator.