What is leverage?

[Gee Dee]

Leverage is an important factor that is actively considered while selecting a broker. Leverage signifies the amount of money a trader can borrow from his trading platform against his initial margin with the broker. For example a leverage ratio 1:900 signifies a trader can borrow $900 against $1 in his trading account as initial margin. A micro investor may require a good leverage so that he can work with smaller investment.

[bearhugs]

Due to liquidity present in the currency trading market, it’s good to trade in the forex market with considerable leverage. Increasing your leverage works if you have either a high win percentage of your trades or you have a lower winning percentage.

[Namu]

Leverage for trading, i usually maximize 1:1000 in freshforex. We need to maximize leverage as well as possible if we want to earn more profit. Do not forget to maximize forex analysis to help us to find the right moment to make order.

[bearhugs]

Every trader is having their choice of leverage. Few are a risk taker and can handle the market in high leverage with proper management. But few cannot manage the money so they take a normal leverage to handle and minimize the risk.