Forex Leverage Explained

If you need Forex Leverage Explained, this is the place to come...

Forex Leverage is an investment technique in which you use a small amount of your own money to make an investment of much larger value. In that way, Forex Leverage gives you significant financial power.

This can heighten profits and losses and should be used wisely.

How does Forex Leverage work?

Example:

Trader A has $5000 USD – If Forex Trader A has an account leverage of 10:1 and they wish to use $1000 on one trade as margin, they will have exposure of $10,000 in base currency

($1000) = 10 x $1000 = $10,000 (Trade value)

Trader B has $5000 USD – If Forex Trader B has an account leverage of 100:1 and they wish to use $1000 on one trade as margin, they will have exposure of $100,000 in base currency

($1000) = 100 x $1000 = $100,000 (Trade value)

What Forex Leverage does Vantage FX UK offer?

Vantage FX UK standard leverage starts at 100:1. The maximum Forex Leverage Vantage FX UK may offer is up to 500:1. This is only for approved accounts and funds approved for leverage greater than 100:1 will be limited. If you wish to get access to higher Forex Leverage please note this on the application or contact us. To learn more about Forex Leverages please visit our training section.

By submitting an increase in trade leverage request you accept that this can result in high risk and severe or total account loss. We are a non-advisory general advice broker and we will not provide you with investment or personal advice. Please consult a registered financial advisor. Margin Forex is very high risk and Forex Leverage should be used wisely.

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