Cypher Assets/Learn/Forex basics

What isleverage inforex trading?

A straight answer · Forex basics

01The short answer
ANSWERLeverage lets you control a bigger position than your account balance, for example 1:30 means €1,000 can control a €30,000 position. It multiplies gains and losses, so your risk per trade (set by your stop-loss and lot size) matters far more than the leverage number.
02Key points
  • Leverage is borrowed exposure, not free money.
  • High leverage with no stop-loss is how accounts get wiped.
  • Size positions from your risk, not from the maximum leverage.
03Go deeper

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