Forex leverage allows you to trade a bigger sum of money with little money. A forex leverage of 1:100 means for every dollar you deposited as collateral with your broker, you can trade up to $100. Essentially, the $99 is like borrowed money. Good news is, if your trade has a positive swap (e.g. to buy NZD against JPY), then you will be receiving interest payout base on $100 (while you only use $1 to activate this trade).
Do note that forex leverage can work against if you over trade or over leverage.
Type of Leverage
|50 : 1||100 : 1||200 : 1|
|300 : 1||400 : 1||Or More|
“Live” actions and reviews from our students directly from our social media accounts. We don’t tweet winning trades only. We tweet losing trades as well. It’s just that we have more winners. Follow @terraseeds in twitter for live trades and forex ideas.