Leverage 1:500 up to 1:2000 on MetaTrader 4/5 accounts, Financial Brokerage Company - RoboForex (2024)

FAQs

What does a leverage of 1:500 mean? ›

To fully understand 1:500 leverage, let's break down the numbers. The first number, 1, represents the trader's capital or initial investment. The second number, 500, represents the amount of currency that the trader can control with their capital. So, for every $1 of capital, the trader can control $500 of currency.

RoboForex offers its clients to trade on MT4 / MT5 accounts with increased up to 1:1000 leverage. Increased leverage not only allows traders to increase their initial capital, but also opens up other opportunities for them. Choose leverage up to 1:1000 for MT4/MT5 accounts.

These two refer to the same thing – the broker allows the trader to open a position worth 500 times his capital. If we deposit $1,000, for instance, and use 1:500 leverage, we will be able to trade volumes at a value of $500,000.

You choose a leverage of 1:2000. This means that when trading 1 lot, which is $100,000, you only need to invest $50. The broker will add the rest. At the same time, each pip on the ESD/USD pair will be worth $10. If you take leverage of, say 1:200, you will need to invest in the same order $500.

liteforex lite account have the 500 leverage. btw, i still dont understand why some people say high leverage is no good. because high leverage means lesser margin and more free margin, so with more free margin you can prevent margin call a bit.

Answer: Yes, RoboForex is regulated by the Financial Services Commission (FSC) of Belize to ensure a secure and transparent trading environment for its clients, adhering to strict regulatory guidelines and ensuring customer funds' safety.

Many professional traders say that the best leverage for $100 is 1:100. This means that your broker will offer $100 for every $100, meaning you can trade up to $100,000. However, this does not mean that with a 1:100 leverage ratio, you will not be exposed to risk.

As a beginner trader, it is crucial to start with low leverage. This will help you to limit your losses and learn how to manage your risk effectively. A good rule of thumb is to start with leverage of 1:10 or lower. This means that for every $1,000 in your trading account, you can control a position worth $10,000.

How does 1 1000 leverage affects your $100 in case of a loss in trade? ›

1:1000 leverage means that for every $1 in your trading account, you can control $1000 worth of a position. So with $100 in your account and 1:1000 leverage, you can open a position worth $100,000. Now, if there is a loss in the trade, the leverage magnifies that loss.

05 What is the leverage available on the Cent Account? The leverage available on the Cent Account is up to 1:500, which is fixed and subject to the trading conditions. The leverage helps traders to trade with more funds than what they have in their account, but it also increases the risk.

Using high leverage , such as 1:500 , can potentially increase your profits , but it also comes with a higher risk of losing your entire account . If you are a beginner trader , it is not recommended to use such high leverage as it requires a lot of experience and discipline to manage effectively .

The increased leverage is only available to the clients, if the Equity on their account doesn't exceed 10,000 USD or its equivalent in account currency. In case the Equity on the trading account with the increased leverage exceeds the numbers specified above, the leverage will be automatically decreased to 1:1000.

The highest leverage available on RoboForex is 1:2000. This level is available only for certain countries and specific trading accounts.

1:400 Forex Leverage Ratio

1:400 leverage comes with high risk, and your account can be automatically wiped out, especially if you deposit a small amount like $500.

Therefore, a leverage of 1:500 is applied to this position and the margin requirements are calculated as 1,044,400 / 500 = 2,088.8 USD. Let`s open a position: Buy 1 lot EURUSD at 1.04440. The notional position value in the account`s currency (USD) is 1 lot x 100,000 x 1.0444 = 104,440 USD.

The best leverage for $100 forex account is 1:100.

Many professional traders also recommend this leverage ratio. If your leverage is 1:100, it means for every $1, your broker gives you $100. So if your trading balance is $100, you can trade $10,000 ($100*100).