6. What is Leverage? TriumphFX Forex Educational Series

What is Leverage? Leverage refers to the ability to increase the size of your trade or investment by using credit from a broker We offer the leverage from 1:1 up to 1:500with only 100 dollars.

For example a trader has trading capital of 10,000 dollarswith the 1:100 leverage with capital of 100 dollars.

The trader decided to buy the EUR / USD at 0.

7469 and he closes the position at 0.

7569 while he will double up his capital.

However if the trader closes the position at 0.

7369 he will lose almost half of his capital.

Just remember that trading on a leverageis like a double-edged sword.

It can double your gain but it will also increase the risk for you tolose more money than you can afford.

Source: Youtube

6. What is Leverage? TriumphFX Forex Educational Series

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Leverage refers to the ability to increase the size of your trade by using credit from a broker. We offer the leverage from 1:1 up to 1:500 with only 100 dollars.

For example, a trader has trading capital of 10,000 dollars with 1:100 leverage with capital of 100 dollars. The trader decided to buy the eur/usd at 0.7469 and he closes the position at 0.7569, while he will double up his capital. However, if the trader closes the position at 0.7369, he will lose almost half of his capital.

Just remember that trading on a leverage is like a double-edged sword. It can double your gain, but it will also increase the risk for you to lose more money than you can afford.

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