Best leverage for $30 account

So, should a new currency trader select a low level of leverage such as 5:1 or roll the dice and ratchet the ratio up to 50:1?

Actual forex bonuses

How Much Leverage Is Right for You in Forex Trades, best leverage for $30 account.

Before answering, it’s important to take a look at examples showing the amount of money that can be gained or lost with various levels of leverage. Imagine trader A has an account with $10,000 cash. He decides to use the 50:1 leverage, which means that he can trade up to $500,000. In the world of forex, this represents five standard lots. There are three basic trade sizes in forex: a standard lot (100,000 units of quote currency), a mini lot (10,000 units of the base currency), and a micro lot (1,000 units of quote currency). Movements are measured in pips. Each one-pip movement in a standard lot is a 10 unit change.

How much leverage is right for you in forex trades

Understanding how to trade foreign currencies requires detailed knowledge about the economies and political situations of individual countries, global macroeconomics, and the impact of volatility on specific markets. But the truth is, it isn’t usually economics or global finance that trip up first-time forex traders. Instead, a basic lack of knowledge on how to use leverage is often at the root of trading losses.

Data disclosed by the largest foreign-exchange brokerages as part of the dodd-frank wall street reform and consumer protection act indicates that a majority of retail forex customers lose money. The misuse of leverage is often viewed as the reason for these losses. this article explains the risks of high leverage in the forex markets, outlines ways to offset risky leverage levels, and educates readers on ways to pick the right level of exposure for their comfort.

Key takeaways

Leverage is the use of borrowed funds to increase one's trading position beyond what would be available from their cash balance alone.

Forex traders often use leverage to profit from relatively small price changes in currency pairs.

Since leverage, can amplify both profits as well as losses, choosing the right amount is a key risk determination for traders.

Leverage in the forex markets can be 50:1 to 100:1 or more, which is significantly larger than the 2:1 leverage commonly provided on equities and the 15:1 leverage provided in the futures market.

The risks of high leverage

Leverage is a process in which an investor borrows money in order to invest in or purchase something. In forex trading, capital is typically acquired from a broker. While forex traders are able to borrow significant amounts of capital on initial margin requirements, they can gain even more from successful trades.

In the past, many brokers had the ability to offer significant leverage ratios as high as 400:1. This means, that with only a $250 deposit, a trader could control roughly $100,000 in currency on the global forex markets. However, financial regulations in 2010 limited the leverage ratio that brokers could offer to U.S.-based traders to 50:1 (still a rather large amount). this means that with the same $250 deposit, traders can control $12,500 in currency.

So, should a new currency trader select a low level of leverage such as 5:1 or roll the dice and ratchet the ratio up to 50:1? Before answering, it’s important to take a look at examples showing the amount of money that can be gained or lost with various levels of leverage.

Example using maximum leverage

Imagine trader A has an account with $10,000 cash. He decides to use the 50:1 leverage, which means that he can trade up to $500,000. In the world of forex, this represents five standard lots. There are three basic trade sizes in forex: a standard lot (100,000 units of quote currency), a mini lot (10,000 units of the base currency), and a micro lot (1,000 units of quote currency). Movements are measured in pips. Each one-pip movement in a standard lot is a 10 unit change.

Because the trader purchased five standard lots, each one-pip movement will cost $50 ($10 change / standard lot x 5 standard lots). If the trade goes against the investor by 50 pips, the investor would lose 50 pips x $50 = $2,500. This is 25% of the total $10,000 trading account.

Example using less leverage

Let’s move on to trader B. Instead of maxing out leverage at 50:1, she chooses a more conservative leverage of 5:1. If trader B has an account with $10,000 cash, she will be able to trade $50,000 of currency. Each mini-lot would cost $10,000. In a mini lot, each pip is a $1 change. Since trader B has 5 mini lots, each pip is a $5 change.

Should the investment fall that same amount, by 50 pips, then the trader would lose 50 pips x $5 = $250. This is just 2.5% of the total position.

How to pick the right leverage level

There are widely accepted rules that investors should review before selecting a leverage level. The easiest three rules of leverage are as follows:

Maintain low levels of leverage.

Use trailing stops to reduce downside and protect capital.

Limit capital to 1% to 2% of total trading capital on each position taken.

Forex traders should choose the level of leverage that makes them most comfortable. If you are conservative and don’t like taking many risks, or if you’re still learning how to trade currencies, a lower level of leverage like 5:1 or 10:1 might be more appropriate.

Trailing or limit stops provide investors with a reliable way to reduce their losses when a trade goes in the wrong direction. By using limit stops, investors can ensure that they can continue to learn how to trade currencies but limit potential losses if a trade fails. These stops are also important because they help reduce the emotion of trading and allow individuals to pull themselves away from their trading desks without emotion.

The bottom line

Selecting the right forex leverage level depends on a trader’s experience, risk tolerance, and comfort when operating in the global currency markets. New traders should familiarize themselves with the terminology and remain conservative as they learn how to trade and build experience. Using trailing stops, keeping positions small, and limiting the amount of capital for each position is a good start to learning the proper way to manage leverage.

Best leverage for $30 account

Brokers with the highest leverage on cfds

I did a study on the brokers’ leverage for cfds like stocks and indices to find the brokers with the highest leverage on cfds and I found the highest leverage available for those instruments.

The reason I did that was I wanted to trade on cfds but I don’t want to spend too much money on them because I’ve never traded them and I don’t want to jump out of my skin when seeing kind of unfamiliar situations.

After more than one decade of trading, I don’t feel like trading on a demo account and I prefer live accounts with rather smaller fund so I rolled up my sleeves and hit the searching button.

Unfortunately, there isn’t much to find while googling that and most sites show you a list of irrelevant brokers with high leverage on forex pairs at best — I’m looking for high leverage on cfds idiot.

For forex brokers with the highest leverage on forex pairs, gold, and oil see this article.

Now I have to find them by going through every broker’s website and dig into their pages and/or asking customer service.

I don’t know how many brokers I searched exactly, probably more than 100, but it took me a whole day.

I saw the leverage for all the cfds they offer but I looked for two specific ones, CFD stock and stock indices.

The highest leverage I found for CFD stocks is 1:20 and the highest leverage for stock indices is 1:500, and of course, that’s the maximum leverage you get for more liquid ones such as US stocks.

If you want to trade, let’s say, german stocks, you get something like 1:5 as leverage.

There are some reasons why leverage is rather low especially on stocks and we will talk about that to some extent later in this post but before that let’s talk about some basics in case some readers are new to this subject.

You'll see in this article:

Leverage in simple words

Leverage simply means a loan given to traders which makes it possible for retail traders to buy and sell trading instruments.

Instruments like forex, shares, indices, and etc are traded based on their units in standard trading.

For example, the minimum amount available for you to buy/sell EUR/USD is 100000 units of base currency or €100000 (base currency is the one that comes first in currency pairs). This is like one standard lot with a 1:1 leverage ratio.

Ok, now how many retail traders can or willing to do such a trade, probably 0.00001 of current ones or something like that.

That’s where brokers come to help both to traders and themselves.

You probably don’t want to trade 1 share of SP500 index that requires more than $3000 as deposit margin in your account but you like to give it a try if it’s possible with $300 or even $30 and less. (we’ll talk about how much each lot is worth in the next sections)

By providing this opportunity for traders, brokers also have the chance to obtain way more clients and increase their revenues.

Why leverage is A doubled-edged sword

As a trader, you need to know something very important. Leverage is a double-edged sword which means it’s true that it can provide more trading opportunities for a larger number of people and speed up the process of gaining profits; it can expedite your losing process as well.

Imagine you want to open one standard lot in a broker that gives you a maximum leverage of 1:10 on USD/JPY.

Since one standard lot is 100000 units of base currency, which is USD here, you need at least $10000 in your account to be able to open one lot USD/JPY — 1:10 ratio leverage means you can open a position that is 10 times bigger than your capital.

So imagine your stop loss is 20 pips.

Assuming the current price of USD/JPY is 111.10 every USD/JPY pip in one standard lot size is worth $9 in this situation.

And in our example it is:

So for a 20 pip sl it’s worth $180. If I lose the trade, $180 is deducted from my account.

I’ve lost $180 from my $10k account which means 1.8%.

It’s the same for winning and if I see a 20 pip tp, I earn 1.8% of my account as a profit.

Now imagine I have the same 10k account in a broker with a 1:100 leverage.

For trading one standard lot or 100000 units (the maximum leverage I can use), I only need $1000 now because the broker allows me to trade with 100 times bigger than my money and it pays the rest.

So let’s take the same scenario as mentioned above where I lose $180. Now instead of losing 1.8% of my account, I lose 18% which is kind of a disaster — $180 is 18% of $1000.

Now that we understand the concept of leverage let’s take a look at CFD and the leverage that CFD brokers offer.

What is CFD

Contract for difference or CFD is a derivative product that allows you to make profits out of the fluctuation of underlying assets such as shares, indices, commodities, and even currency pairs without owning them which means they’re traded over the counter OTC (like forex).

When you buy a share physically, you own something and besides being exposed to profit and loss as a result of price change, you‘re entitled to dividends as a shareholder as well.

You can also sell your shares only if you bought them first.

On the other hand, when you buy a CFD stock, you don’t own that and there is no distribution of profits and things like that.

You just make a profit by price movement however unlike the physical one, you can both buy and sell a stock. It means you can sell a share without buying that at all, just like forex.

As you can see, it’s very similar to forex trading with a few differences.

For example, forex market is open 24 hours for 5 days but CFD markets are open depends on each asset.

For instance, UK100(index) in a broker is tradable from 7 to 21 every day while you can trade S&P 500 (index) from sun 23.00 to fri 21.15.

Another difference which is obvious is that in forex trading you can only trade currency pairs while there are more assets available in CFD such as stocks, indices, bonds, commodities, etc.

Leverage is a common feature for both; however, leverage is rather low in CFDS especially on stocks compared to forex pairs.

In most of the brokers, the leverage for cfds is represented as margin requirements. For example, 1:100 leverage ratio is the same as 1% required or deposit margin (1/100).

If the leverage is 1:200 it means 0.5% margin required and for 1:20 leverage. It means the required margin is 5%.

Why leverage is lower on cfds such as stocks

One reason is that CFD stocks are low liquid and highly volatile so they are too risky, even for brokers. Look at the charts of shares. You can see many gaps especially in 15 minutes and lower and big fast movements creating a long candle.

Brokers don’t like volatility because it makes the market too unpredictable and risky. When they can’t match the price you order with their liquidity providers, they have to hedge your order. In other words, take the other side of your order.

Lending too much money as leverage in a volatile low liquid market is out of their risk management so they try to handle these kinds of assets by lower leverage.

Another reason is that a unit of a stock is equal to 1 share (1 lot) which is the price of that stock and since one share of a company isn’t worth too much, we don’t need very high leverage to trade them.

Remember when we wanted to calculate the required margin for EUR/USD. In a 1:1 leverage, we have to have €100000 in our account to trade one standard lot.

For stocks, you need to have the amount of one share in your account as a deposit margin in order to trade that stock or share.

For example, one apple share is worth $292.37 at this moment. Therefore, the required margin or the money that must be in our account is $292.37 with a 1:1 leverage.

If the leverage increases to 1:10, the required margin becomes $29.24 (or 29.237 to be exact).

The maximum leverage that I found for stocks after searching many CFD brokers is 1:20 while some of those brokers offer leverages as high as 1:1000 and in some cases even 1:3000 for currency pairs.

The leverage for stock indices is much higher. The common leverage for indices is 1:100, however, the brokers that I picked, give you 1:200 and in one case 1:500.

List of brokers with the highest leverage on cfds

These are the CFD brokers that have the highest leverage on cfds, particularly on stocks and indices.

Note: in some of the brokers, the minimum deposit is as low as $1 or $5. It doesn’t mean you can trade all stocks with that amount. For example, as we mentioned above, for trading apple, you need to have something around $30 in your account as a required margin.

It depends on the stock you want to trade but since CFD brokers offer leverage for trading stocks, you can trade some stocks with only $5 …more

Not necessarily. When trading cfds using leverage, you are trading with borrowed money as the larger portions of your trades so when you win you gain more and win you lose, your capital shrinks faster, read more

According to our examination on more than 100 brokers, the highest available leverage for CFD stocks is 1:20 while it’s 1:500 for stock indices and some brokers offer up to 1:3000 for forex pairs.

Margin and leverage

Leverage up to 30:1

2:1 up to 30:1 depending on instrument

Negative balance protection

Real-time risk exposure monitoring

No changes in margin overnight or at weekends

6 asset classes - 16 trading platforms - over 1000 instruments.
Trade forex, individual stocks, commodities, precious metals, energies and equity indices at XM.

Leverage up to 30:1

At XM clients have the flexibility to trade by using the same margin requirements and leverage from 2:1 to 30:1 depending on instrument.

About margin

Margin is any payment required for the purpose of entering into a CFD position and it is expressed as the percentage of the position size (e.G. 5% or 10%). For example, on a 10% margin, a position of $10,000 will require a deposit of $1,000.

For forex, gold and silver, new positions can be opened if the margin requirement for the new positions is equal or less than the free margin of the account. When hedging, positions can be opened even when the margin level is below 100% because the margin requirement for hedged positions is zero.

For all other instruments, new positions can be opened if the margin requirement for the new positions is equal or less than the free margin of the account. When hedging, margin requirement for the hedged position is equal to 50%. New hedged positions can be opened if the final margin requirements will be equal or less than the total equity of the account.

About leverage

Using leverage means that you can trade positions larger than the amount of money in your trading account. Leverage is expressed as a ratio, for instance 5:1, 10:1, or 30:1. Assuming that you have $1,000 in your trading account and you wish to trade a position on USD/JPY, the leverage ratio available to you would be 30:1. In case you decided to use $500 of your funds to enter into that position, it means that you would hold a position worth $15,000 (500 * 30).

How would it be possible to trade 30 times the amount that you have at your disposal? At XM you have a free short-term credit allowance whenever you trade on margin. This enables you to purchase an amount that exceeds your account value.

XM leverage

Depending on the instrument traded at XM, the leverage ranges from 2:1 to 30:1. Margin requirements do not change during the week, nor do they widen overnight or at weekends.

Leverage risk

On the one hand, by using leverage, even from a relatively small initial investment you can make considerable profit. On the other hand, your losses can also become drastic if you fail to apply proper risk management.

Margin monitoring

At XM you can control your real-time risk exposure by monitoring your used and free margin.

Used and free margin together make up your equity. Used margin refers to the amount of money you need to deposit to hold the trade (e.G. If the leverage offered for a specific instrument you wish to trade on is 20:1, the margin that you will need to set aside is 5% of your trade size). Free margin is the amount of money you left in your trading account, and it fluctuates according to your account equity. You can open additional positions with it or absorb any losses.

Margin call

Although each client is fully responsible for monitoring their trading account activity, XM follows a margin call policy to guarantee that your maximum possible risk does not exceed your account equity.

As soon as your account equity drops below 100% of the margin needed to maintain your open positions, we will attempt to notify you with a margin call warning you that you do not have sufficient equity to support open positions.

Stop-out level

The stop-out level refers to the equity level at which your open positions get automatically closed. The stop-out level in a retail client's account is reached when the equity in the trading account is equal or falls below 50% of the required margin.

Legal: this website is operated by trading point of financial instruments limited with registered address at 12 richard & verengaria street, araouzos castle court, 3rd floor, 3042 limassol, cyprus.

Trading point holdings ltd is the holding company of trading point of financial instruments limited, XM global limited, trading point of financial instruments UK limited, trading point of financial instruments pty ltd, trading point MENA limited.

Trading point of financial instruments limited is authorised and regulated by the cyprus securities and exchange commission (licence number: 120/10).
XM global limited is authorised and regulated by the international financial services commission (IFSC) (000261/106).
Trading point of financial instruments UK limited is authorised and regulated by the financial conduct authority (FRN: 705428).
Trading point of financial instruments pty ltd is authorised and regulated by the australian securities and investment commission (AFSL 443670).
Trading point MENA limited is authorised and regulated by the dubai financial services authority (DFSA) (reference no. F003484).

Risk warning: cfds are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.04% of retail investor accounts lose money when trading cfds with this provider. You should consider whether you understand how cfds work and whether you can afford to take the high risk of losing your money. Please consider our risk disclosure.

Trading point of financial instruments limited provides investment and ancillary services to residents of the european economic area (EEA) and the united kingdom.

This website uses cookies

By clicking “continue”, you agree to the default cookie settings on our website.

XM uses cookies to ensure that we provide you with the best experience while visiting our website. Some of the cookies are needed to provide essential features, such as login sessions, and cannot be disabled. Other cookies help us improve our website’s performance and your experience through personalising content, providing social media features and analysing our traffic. Such cookies may also include third-party cookies, which might track your use of our website. You may change your cookie settings at any time.

For more information please read our cookie policy.

This website uses cookies

By clicking “continue”, you agree to the default cookie settings on our website.

Read more, or change your cookie settings.

What are cookies?

Cookies are small data files. When you visit a website, the website sends the cookie to your computer. Your computer stores it in a file located inside your web browser.

Cookies do not transfer viruses or malware to your computer. Because the data in a cookie does not change when it travels back and forth, it has no way to affect how your computer runs, but they act more like logs (i.E. They record user activity and remember stateful information) and they get updated every time you visit a website.

We may obtain information about you by accessing cookies, sent by our website. Different types of cookies keep track of different activities. For example, session cookies are used only when a person is actively navigating a website. Once you leave the website, the session cookie disappears.

Why are cookies useful?

We use functional cookies to analyse how visitors use our website, as well as track and improve our website’s performance and function. This allows us to provide a high-quality customer experience by quickly identifying and fixing any issues that may arise. For example, we might use cookies to keep track of which website pages are most popular and which method of linking between website pages is most effective. The latter also helps us to track if you were referred to us by another website and improve our future advertising campaigns.

Another use of cookies is to store your log in sessions, meaning that when you log in to the members area to deposit funds, a "session cookie" is set so that the website remembers that you have already logged in. If the website did not set this cookie, you will be asked for your login and password on each new page as you progress through the funding process.

In addition, functional cookies, for example, are used to allow us to remember your preferences and identify you as a user, ensure your information is secure and operate more reliably and efficiently. For example, cookies save you the trouble of typing in your username every time you access our trading platform, and recall your preferences, such as which language you wish to see when you log in.

Here is an overview of some of the functions our cookies provide us with:

Verifying your identity and detecting the country you are currently visiting from

Checking browser type and device

Tracking which site the user was referred from

Allowing third parties to customize content accordingly

This website uses google analytics, a web analytics service provided by google, inc. ("google"). Google analytics uses analytical cookies placed on your computer, to help the website analyze a user's use of the website. The information generated by the cookie about your use of the website (including your IP address) may be transmitted to and stored by google on their servers. Google may use this information to evaluate your use of the website, to compile reports on website activity and to provide other services related to website activity and internet usage. Google may also transfer this information to third parties, where required to do so by law, or where such third parties process the information on behalf of google. Google will not associate your IP address with any other data held. By using this website, you give your consent to google to process data about you in the manner and for the purposes set out above.

Best leverage for $30 account

Leverage is when an increased volume of capital is borrowed using a smaller amount in order to invest and magnify potential gains. However leverage is considered a ‘double edged sword’. Not only is there a possibility of gaining increased profitability, but there is also a risk of greater losses. A forex trader will need to use sophisticated risk management in order to tackle passed the nuisances of the ‘double edged sword’. Traders are given the opportunity to control huge amounts of money using very little of their own and in a sense simply borrowing it from their broker. Depending on the level of forex leverage your trading account is opened in, you can have access to a large chunk of capital with very little outlay needed. Say for instance there is something worth $100,000 and you pay $10,000 and the loan you borrow from your broker is $90, 000, the remaining capital needed is what you gain from the leverage.

Leverage example

Imagine you have $5,000 in your trading account, trading on 100:1 leverage gives you the power of $500,000. As leverages are determined in ratios, the leverage you have gained is 100:1. If the value of your open trade moves up to $501,000, you gain 100% of the profit, which will be $1,000. The leverage in this situation gives you the ability to earn 100 times more than the capital you put down.

Now on the other hand, consider that you have a 1:1 leverage where you have to come up with the $500,000. A 1:1 leverage means that your investment of $500,000 can too increase in value to $501,000, but you are risking your $500,000 to gain your $1,000 profit. Your profit here will only be 0.2% as well. The reason why leverage and forex trading is so popular is you are not required to have $500,000 capital to invest. A 1:1 leverage is not at all attractive when forex trading can give you 100:1 leverage.

It works the other way however…if your $500,000 trade which you opened with a $5,000 capital at 100:1 leverage dropped to $495,000, you will lose your $5000 investment. As likely as you are to earn increased profits with a 100:1 leverage, you are just as likely to lose the equivalent amount if your trading plan isn’t up to scratch.

Forex margins

There are several terms used to distinguish different types of margins in a forex trading platform. The deposit given to the broker by the trader is known as a MARGIN. Margins are required in order to use leverage. A broker demands this margin so that the opened position is maintained and sustained. The amount of margin demanded varies from broker to broker. A trader will offer the collateral in order to ensure and guard that his broker is not under threat of any credit risk.

Each and every trader’s margins are combined so that a large margin deposit is created and then used to position trades within the interbank network. With reference to the above leverage example, the margin is the $5,000 deposit given. Forex brokers will state how much margin they require off a trader wanting to open a position. A forex margin is articulated through percentages, ranging from 1% to 25%. By considering the percentages stated by a broker, a trader will be able to estimate the maximum leverage that could be used with their trading account. For instance, a 2% margin requirement represents a leverage of 50:1 while 0.50% represents a leverage of 200:1.

ACCOUNT MARGIN defines the amount of funds a trader possesses in his trading account. In this margin account a trader is investing with his broker’s capital and during leverage he is risking both gains and losses.

USEABLE MARGIN is the funds accessible in the trader’s account that are optioned for opening new positions.

A MARGIN CALL will occur when open losing positions are extremely decreased further than the useable margin levels. This margin call means that the broker will close all or several open positions at the market price.

Finally, when a trader closes a current position or obtains a margin call, the broker is obliged to give back the money they ‘locked up’ to ensure that the current position was open. USED MARGIN is the amount of money that was reserved.

Leverage, margin & risk

As a newcomer to the forex industry, it is rather difficult to understand every term and technical aspect straight away. Throughout this article, we will aid you in gathering the basic knowledge of forex trading to be able to start your trading career.

How forex leverage works

When a trader opens a forex trading account with a broker, they need to be aware that the movement of the currency rates are extremely frequent. Generally speaking this means that most forex trades involve very small differences in price, for example a price difference of 1 cent. This is where the availability of leverage turns these small price changes into possible big money earners.

In many other financial markets trading with such small amounts will mean the time in making a gainful profit will require a much larger initial investment. Fortunately there is the availability of high leverage in forex trading. Leverage is used by traders to increase their chance of profit potential. Even with a small initial deposit, leverage enables a trader to gain a quicker return on his/her investment.

Leverage trading involves creating a rate the trader will use for every dollar in his/her account. The funds placed for a trade is immediately at risk, formally known as ‘margin’.

A trader opens a forex account at their selected broker. He/she decides to trade the currency pair EUR/USD. He/she is buying into the EURO in exchange for selling the US DOLLAR. The price is 1.1000 and the contract value is EUR 100,000. Any trader in this situation aims to profit once they close this contract. If this is successful in happening, the rate would perhaps increase to 1.2000 and the trader will profit. For every euro the trader made a profit of 1 US cent. As a total the profit earned would be $1,000- 100,000 x 1 cent.

Now here is where the leverage comes in. The trader will not need the full EUR 100,000 to open this contract. He/she will be required to use leverage and risk perhaps 1:100 of the contract value. The trader needs $1,000 for a contract of 100,000. Therefore, if there was a loss and the value of the entire contract decreased to 99,000 then the deal would be immediately closed.

Leverage is a ‘double-edged sword’. There is the opportunity to win however there is also the equal opportunity to lose. A trader has more money to use for his/her trading executions than that in his/her account when referring to leverage. The trader uses what he/she currently owns to increase the amount he/she can trade and thereafter increase the potential profit if the trade is successful. This is how leverage works as an advantage for traders. In contrast however, leverage can work against the trader when there is a loss. If there is a high leverage, the trader is risking a quick route in automatically closing the deal because the currency pair involved is moving against the trader’s investment. This is why leverage also entails some risk. Every trader is advised not to risk more than he/she can accept to lose. Previously, we mentioned the term ‘margin’. Here is an easier and more detailed explanation of ‘margin’ and how it is used in forex trading.

Earlier we stated that margin is the funds placed for a trade that can be immediately at risk. Margin is the amount the trader places in the forex contract that is opened. With the use of margin, a trader is given the opportunity to invest in a market where the smallest trade he/she makes is already high. Margin trading can increase one’s profit but can also increase loss. A trader is required to pay if they at any point lose funds during a trade. Keeping this in mind, traders place money into an account and this account is used to cover any losses that may take place. This is known as ‘minimum security’. Your margin is essentially your investment. You have to invest a margin of $1,000 to be trading with $100,000. This is of course at a leverage of 1:100. So as you know, there are plenty of ways to lose profit and experience risk in the forex market.

There are however a couple of methods to limit the amount of risk during trading.

Stop-loss rates: A trader selects a rate that is the lowest he/she wants to go. Now, if the market ends up reaching that rate, the trade will be automatically stopped. This helps limit the risk of losses and the trader will not lose more than he/she is prepared to. This is an advantage to traders because they are in some way, in control of their investments.

Take-profit rate: this is similar to the stop-loss rate. The deal will close once the profit rate the trader selected is reached. The set rates can be altered at any time whilst the deal is open. This form of risk control allows the trader to control his/her trading without the need to regularly observe the position.

Ironically, these risk control methods also entail a disadvantage. It is not a full guarantee that the pre-set rates are consistently going to work. This is because market conditions sometimes change and this affects the forex market. These conditions can alter so quick that traders currently in a trade will be prevented from executing pre-set rates. Unfortunately, the environment will be out of the trader’s control.

Of course every business involves risk; however in order to battle past these risks as much as you can it is advised to understand every aspect and application of forex. We hope that by reading the above facts, you have learnt ways to decrease risk and to understand how to properly use leverage and margin. Traders are less prone to fail when there has been sufficient studying, research and practice undertaken beforehand.

The 5 best forex broker with high leverage – real comparison

The best forex brokers with high leverage are regulated, operate transparent trading conditions, and utilize the latest fintech.

But finding the forex broker that’s right for you and your trading experience can be somewhat of a daunting task. With leverage ranging from less than 1:500 up to 1:2000, it is vital that you know as much about forex trading as possible before you get your feet wet.

To help navigate the world of high leverage forex brokers, we have chosen our top five picks and reviewed them for you. We look at the top 5 forex dealers to see what each has to offer. Please read on to find out which brokerage fits your needs, whether you be a complete novice or a veteran forex trader.

The following FX brokers which we reviewed:

Bdswiss – swiss financial know-how

Roboforex – great offers and promotions

Blackbull markets – kiwi company with an excellent track record

IC markets – one of the biggest forex traders around

Vantagefx – trusted ECN broker

broker:	review:	spreads and fees:	regulation:	advantages:	open account:
1. Bdswiss	(5 / 5) ➜ read the review	starting 0.0 pips + $ 2 – $ 5 commission per 1 lot (negotiable)	cysec (EU), FSC (MAU)	+ maximal leverage 1:500 + individual offers + trading signals + raw spreads	$ 100 minimum deposit

What is high leverage forex trading?

Before we dive straight into the review, let’s take a few seconds to consider what we mean by high leverage. This phrase means the trader can use their funds plus ‘borrow’ capital to increase potential gains. The result is that even the smallest of traders to trade currency pairs at larger volumes.

However, while making possible far greater returns, the gearing effect also significantly increases the risks of losses. For example, you want to trade with a leverage of 1:1000. That means you only need $1 of capital to trade the amount of $1,000. The leverage will increase your position size. But in the end, you can always varify the size of the position.

1. Bdswiss

Bdswiss was formed in 2012 and is jointly headquartered in zurich, switzerland, and cyprus, the latter of which is an EU member state. It’s also overseen and regulated by the financial authorities in the USA, seychelles, and mauritius.

In less than a decade, bdswiss has grown rapidly, and today boasts over a million and a half registered accounts from clients in more than 180 countries. Bdswiss is now arguably one of the most prominent international forex trading groups in the world. The award-winning forex broker has grown its customer base through numerous branch offices, both in europe and the US. Though it does have offshore registrations in the seychelles and mauritius, bdswiss is generally considered a safe broker. It also has to comply with the european union’s strict financial regulatory framework and that of the united states.

Bdswiss, then, can be considered a safe harbor for your trading cash. And with leverage of up to 1:500 available, the trading group is one of the best forex brokers with high leverage. However, it is always strongly recommended you carry out your due diligence and fully understand the implications of such high leverage. Always check the bdswiss site to verify its allowance structure and check each instrument individually as there is variation here too.

Trading fees are competitive but vary depending on the type of account you open. Be sure when registering to select your base currency – either euros, US dollars, or the GB pound – and you can dodge currency conversion fees. Currently, there are three types of accounts – classic, VIP, and raw, which offer spreads from 0.0 pips (subject to a $5 commission) to 1.5.

The classic and VIP accounts are not charged for forex, commodity, or crypto pairs. However, they are charged a fixed commission for everything else, including shares and indices.

Bdswiss has combined the renowned swiss financial prowess with a powerful and easy to use trading platform. It’s little surprise their expansion has been so rapid as it rests on sound foundations. Given the number of awards it has won and the solid reputation it has earned, bdswiss looks well placed for even more significant growth.

Bdswiss advantages:

Permitted leverage of up to 1:500 subject to criteria

European traders can use high leverage with the mauritius regulator

A low minimum deposit of $100 USD

Robust foundations

Global coverage

Ability to trade forex and a range of CFD instruments

Opening an account is fast and easy

Free demo accounts

Customer support monday to friday

Forex educational resources, webinars, and courses

Trading signals

Base currencies are USD, EUR, and GBP

Metatrader 4/5, web-trader, app

(risk warning: your capital can be at risk)

2. Roboforex

Belize-based roboforex is probably best known outside of the trading world as the sponsorship partners of BMW M motorsport. The company was formed in 2009 and is IFSC (international financial services commission) of belize regulated. This accreditation provides for segregated trading accounts and negative balance protection. Roboforex is signed up to the financial commission’s compensation fund and provides execution quality certificates via verify my trade.

Since its inception, roboforex has been solidly focussed on using cutting edge technology to leverage its years of trading experience.

It operates globally and offers eight asset classes, leverage of up to 1:2000 regardless of account type, and more than 50 forex currency pairs.

Roboforex offers a range of five different account types with varying initial deposits ranging from $10 to $100 and varying degrees of leverage from 1:300 to 1:2000. So there’s a good chance you can track down an account that suits you. There are also ‘swap-free’ islamic and demo accounts available.

Trading is via the industry-standard metatrader, metatrader 4 and 5, ctrader, and the broker’s in-house R trader platform.

Because roboforex is overseas-based and regulated, they can offer an array of attractive bonuses and promotional offers. These offers vary from time to time. However, at the time of writing, their flagship offer was a prize giveaway with a total pot of a million dollars. The giveaway is to mark roboforex’s tenth year of trading. In addition to monthly prizes worth $100,000, in may 2021, there is to be a ‘grand prix giveaway’ which is worth an accumulated $300,000.

At the moment, there are these types of bonuses:

A $30 welcome bonus once your account has been verified

A 60% profit share bonus

A 120% bonus of your deposited amount.

Check the website for the terms and conditions.

As well as the attractive benefits above, roboforex scores as one of the best forex brokers with high leverage thanks to its commission structure. They charge zero commission on client trading accounts. As well as that, roboforex offers over 20 different ways to deposit funds, so you are unlikely to be stuck for a payment provider.

Withdrawals are easy too. Their system for withdrawals is automatic and can take as little as one minute to transfer, depending on your payment method. Varying withdrawal fees apply.

Roboforex advantages:

Tight spreads from 0.0 pips

High leverage for every customer

Fast order execution and ECN accounts

Four account currencies available

Micro accounts

Eight asset classes including forex, indices, stocks, cryptocurrencies, energy, metals, etfs, and soft commodities

Access to over 12,000 markets

Negative balance protection

24/7 multi-language customer support

Dedicated analytics app

Learning videos

Metatrader 4/5, ctrader, rtrader

(risk warning: your capital can be at risk)

3. Blackbull markets

Based in new zealand, hence the nice wordplay of blackbull, this international brokerage is a real electronic communication network (ECN). Founded in the year 2014, blackbull markets has dual accreditation. It’s licensed both by its domestic regulatory body, the new zealand financial markets authority, and in seychelles by their financial services authority.

Blackbull is headquartered in new zealand’s largest city, auckland, and has a support office in the malaysian capital city, kuala lumpur. Blackbull markets trades its more than 300 tradable instruments on the award-winning and industry-standard metatrader 4 and 5 platforms and web trader.

As arguably one of the best forex brokers with high leverage, the award-winning blackbull markets team gains this accolade thanks to a combined decade of experience in institutional forex trading. And this is reflected in the institution-class fintech service it offers its retail clients.

The minimum deposit to get started trading with blackbull markets is from $200, with leverage of 1:500, fast order execution, and customer support 24/5.

The lowest spreads available are from 0.1 pips but typically are in the region of 0.8 pips in their ECN standard type of account. Live spreads for the EUR/USD pair begin at 0.2 pips.

There are several account types available. Each is tailor-made to suit every forex trader, from complete beginners to veteran forex traders. Standard accounts accept deposits as low as $200, are commission-free, and give access to all of blackbull markets tradable instruments with low spreads.

Prime accounts, meanwhile, require a minimum initial deposit of $2,000 but offer a commission of $6 per lot on every $100,000 traded. Spreads start at 0.2 pips. It should be noted that blackbull markets charge overnight swap fees to keep positions open. For those of the muslim faith, there are swap-free islamic accounts. If you wish to test the water first, you can open a 30-day demo account simulator that’s pre-loaded with $100,000 of virtual cash for you to trade risk-free.

For their live accounts, you have the choice of depositing in nine currencies, including USD, EUR, AUD, and GBP. All payment methods are instantly processed, apart from bank transfers, which take between one to three days. You can only make a withdrawal via the method you used to pay initially. Withdrawal fees apply.

Advantages of blackbull markets:

More than 300 tradable instruments

Gold standard award-winning trading platforms

Extra tools such as zulutrade and myfxbook

Zero pip spreads available

Offers more than 60 forex pairs

Commission-free trading on some accounts

Maximum leverage of 1:500

Metatrader 4 and 5, plus a mobile app

Deposits accepted in nine currencies

Trading academy

Cross-platform trading

(risk warning: your capital can be at risk)

4. IC markets

Founded in 2007 in australia, IC markets is regulated by the ASIC (australian securities and investments commission). It also has overseas branches and is subject to regulation by the cysec (cyprus securities and exchange commission), and in seychelles by the financial supervisory authority (FSA).

Opening an IC markets account is fast and easy. You only need $200 as a minimum deposit. And you will also love those deposits, withdrawals, and inactivity incur no fees.

However, there is a $20 AUD charge for international bank transfers. Otherwise, moving your money in or out is free with most of the payment methods on offer. Getting an account approved typically only takes 24 hours on a business day. You will also be asked about your trading experience during the account setup process. There is also the option of opening a demo account to try out the platform.

There are three account types – raw spread (based on ctrader); raw spread (based on metatrader); and standard, which is also traded on metatrader.

The standard account comes with zero commission and spreads from 1.0. Both raw spread accounts offer pips of 0.0 but charge commission. The ctrader account charges $3 per $100,000 USD, while the metatrader version is subject to a commission of $3.50 (per lot per side).

Trading fees charged by IC markets are broadly speaking low and align closely to their main competitors.

What also sets IC markets apart as one of the best forex brokers with high leverage is the number of base currencies they can offer to clients. These are USD, GBP, EUR, AUD, NZD, JPY, CAD, HKD, SGD, and CHF. This is extremely useful if you have a multi-currency bank account with an internet bank. Or, if you wish to avoid conversion fees by funding your account in the currency of your existing bank account or trading assets in the currency you selected as your account’s base currency.

IC markets’ portfolio and fee reports are straightforward and transparent. It’s easy to view your profit and loss balance as well as the commission fees incurred.

Advantages of IC markets:

Low forex trading fees

Free deposit and withdrawal

ECN broker

Minimum $200 deposit

No inactivity fee

Supports ten base currencies

Three account types

Fast execution of orders

Offers sub-accounts in different base currencies

Uses metatrader 4 and 5, plus ctrader

Forex spreads starting from 0.0 pips

(risk warning: your capital can be at risk)

5. Vantage FX

Vantagefx was founded in australia in 2009 and said theirs is a dedicated ECN trading platform. It also offers online trading via metatrader, a mobile trading app, and social trading.

The vantage FX team, drawn from forex, finance, and technology backgrounds, are regulated by the australian securities and investments commission (ASIC). Their various branches around the world are regulated by financial regulatory bodies in the cayman islands, the UK, and vanuatu. The company uses a segregated bank account with tier-1 bank, national bank of australia, to hold client payments.

Vantage FX can lay claim to being among the best forex brokers with high leverage because of their background. They say it is because of their strong and diverse experience that they can offer class-leading access to global forex markets. They say retail and pro traders will notice a distinction when comparing vantage FX to other brokers they may have used in the past.

Vantage FX pitches three client account flavors suitable for all levels of trading experience. All are based on metatrader 4 and 5, offer 44 currency pairs, leverage up to 1:500, and nine base currencies.

The standard STP account is aimed at novice traders who want direct market access with zero commission and a low $200 minimum deposit. The minimum lot of trade size is 0.01, while the spreads start at 1.4.

The ECN-based accounts, raw ECN and pro ECN allow for 0.0 pips. The most popular of the two is raw ECN, as it requires only a minimum deposit of $500 to get started trading. The commission is charged from $3 per lot per side.

Meanwhile, the pro ECN account is firmly designed for high volume trade professionals and money managers. The minimum deposit is $20,000, with the commission payable being from $2 per lot per side.

Vantage FX offers a range of international and australia-only payment methods, including visa, JCB, china union pay, neteller, skrill, and fasapay. Most options involve no fees.

Their transparent forex market access and solid financial set up has understandably led to vantage FX being hailed as a secure and safe forex broker.

Advantages of vantagefx

50% welcome bonus on initial deposits up to $500

A minimum deposit of $200

0.0 spreads

Leverage up to 1:500

Free forex signals

Fast execution

Award-winning customer support

Negative balance protection

Spot FX and forex cfds

Volume commission rebates

(risk warning: your capital can be at risk)

What are high leverage forex brokers?

These brokers specialize in foreign exchange trades and use a system of leverage using borrowed money to bet on the direction of travel between currency pairs. For example, the USD against the euro. Or the GB pound against the japanese yen. The gearing effect that’s possible, generally 1:500, makes significant gains possible if the exchange rate moves in the predicted direction. If not, the losses can be substantial. However, almost all high leverage forex trading platforms have negative balance protection. So you won’t lose any more than the deposit you hold in your account.

What is 1:500 leverage?

Leverage is essentially a line of credit to trade on the foreign exchange markets. If a broker is offering leverage of 1:500, it means you can multiply your capital by 500. In other words, for every dollar of your trading capital, it is matched by $500 from the broker.

What is the best leverage ratio for novice traders?

As a novice trader, you should not be trading at more than 10:1 or 5:1. To be ultra-cautious, it’s better to stick with the leverage of 1:1 at the beginning. The most common rookie mistake of a new forex trader is to go too high with leverage. Play it safe until you have a comprehensive grasp of the subject and never trade with cash you can’t afford to lose.

Is high leverage forex trading risky?

The general consensus is that high leverage foreign exchange market trading is riskier. However, the potential rewards – and losses – are significantly more significant due to the multiplying effect. Some traders contend that by using only a level of leverage you are comfortable with, this form of trading can carry no more risk than other types. But, more importantly, it magnifies potential gains. It’s the classic half-full, half-empty argument.

Which are the best high leverage forex brokers?

The best ones are those that are regulated by a recognized financial regulatory body. They should also offer negative balance protection and be transparent about their commission fees and trading and non-trading charges. If you would like to get a proper handle on a particular platform, consider opening a demo account first. This will enable you to get some hands-on experience with virtual trading capital before committing yourself.

Final review of the best forex brokers with high leverage:

High leverage forex trading can be a success if you go about it the right way. As you can see from our review of the best forex brokers with high leverage, finding the right broker to suit should be easier than you imagine.

The top 5 forex brokers we highlight all share a strong commitment to helping their clients achieve their foreign exchange trading goals. These five are well-regulated and widely considered to be a safe harbor for trading.

There is much emphasis, too, on the fintech that underlies their platforms. There is a reliance on the industry-standard software metatrader 4 and 5, along with mobile apps and integration with social copy trading apps such as zulutrade and myfxbook, among others.

There is much evidence to conclude that the five forex brokers we have reviewed here are not prepared to rest on their laurels. There is a commitment to continue introducing the latest technology to execute orders as fast as possible and make their platforms intuitive and user-friendly.

As we have spotlighted, there is recognition of the need to cater to the diversity of traders, from beginners to seasoned veterans of forex trading. This is reflected not only in their tailor-made accounts with specific types of traders in mind but also in their desire to educate. Brokers like those we have reviewed spend much time, effort, and money on their educational resources. Not only is it in their interests to have an informed customer base, but it is also an acknowledgment that no matter how little or how much forex trading experience you have, there is always something new to learn.

With high leverage, you can use a bigger position sizes and suitable trading strategies.

Top high leverage accounts for 2021

We found 11 online brokers that are appropriate for trading high leverage accounts.

Best high leverage accounts guide

We've collected thousands of datapoints and written a guide to help you find the best high leverage accounts for you. We hope this guide helps you find a reputable broker that matches what you need. We list the what we think are the best high leverage accounts below. You can go straight to the broker list here.

Reputable high leverage accounts checklist

There are a number of important factors to consider when picking an online high leverage accounts trading brokerage.

Check your high leverage accounts broker has a history of at least 2 years.

Check your high leverage accounts broker has a reasonable sized customer support of at least 15.

Does the high leverage accounts broker fall under regulation from a jurisdiction that can hold a broker responsible for its misgivings; or at best play an arbitration role in case of bigger disputes.

Check your high leverage accounts broker has the ability to get deposits and withdrawals processed within 2 to 3 days. This is important when withdrawing funds.

Does your high leverage accounts broker have an international presence in multiple countries. This includes local seminar presentations and training.

Make sure your high leverage accounts can hire people from various locations in the world who can better communicate in your local language.

Our team have listed brokers that match your criteria for you below. All brokerage data has been summarised into a comparison table. Scroll down.

Our brokerage comparison table below allows you to compare the below features for brokers offering high leverage accounts.

We compare these features to make it easier for you to make a more informed choice.

Minimum deposit to open an account.

Available funding methods for the below high leverage accounts.

What you are able to trade with each brokerage.

Trading platforms offered by these brokers.

Spread type (if applicable) for each brokerage.

Customer support levels offered.

We show if each brokerage offers micro, standard, VIP and islamic accounts.

Top 15 high leverage accounts of 2021 compared

Here are the top high leverage accounts.

Compare high leverage accounts min deposits, regulation, headquarters, benefits, funding methods and fees side by side.

All brokers below are high leverage accounts. Learn more about what they offer below.

You can scroll left and right on the comparison table below to see more high leverage accounts that accept high leverage accounts clients