Video: What is Leverage in Forex
Leverage represents a margin trading ratio that will allow you to open bigger lot positions with very little equity. In Forex leverage can be very high, sometimes as much as 500:1, which means that a margin deposit of just $1000 could control a position size of $500,000. Leverage has a direct effect on the capital in your trading account.
Part of our multimedia library, learn in this video what is leverage in Forex, how it works and how to use it safely in your trading strategy.