Dynamic Leverage
What is dynamic leverage?
The daily trading volume on the forex (FX) market has grown exponentially in the last decade, due to an increasing number of retail traders entering the market. Financial leverage is an important aspect of FX trading, because it allows investors to enter the market with a relatively small capital.
Each trading account has certain leverage defined at the time of creation. However, when entering a trade, the actual leverage may differ because the different symbols can have different leverages. For example, while you may get 1:500 leverage for major currency pairs, brokers offer much lower leverage for highly volatile pairs, Stocks CFDs, natural resources, Metals CFDs, and Cryptos CFDs (1:10 – 1:50). In such cases, account leverage is treated as an upper limit. If the symbol’s leverage is smaller than the account leverage, then the symbol’s leverage will be applied. If the symbol’s leverage is bigger, the account leverage prevails.
Leveraged CFDs are complex instruments and come with a high risk of losing money.
| Cryptos CFDs Margin Requirements | |
|---|---|
Leverage |
Leverage up to |
Crypto CFDs |
1:10 |
| Majors FX | |
|---|---|
Open Lots |
Maximum Leverage |
0-10 |
Max 1:1000 |
10.01-20 |
Max 1:500 |
20.01+ |
Max 1:200 |
| Majors/Minors CFDs Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0-25 |
Max 1:500 |
25-50 |
Max 1:200 |
50-75 |
Max 1:100 |
75-100 |
Max 1:50 |
100+ |
Max 1:20 |
| Forex CFDs Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0-10 |
Max 1:100 |
10-20 |
Max 1:50 |
20+ |
Max 1:20 |
| Energies CFDs Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0-10 |
Max 1:100 |
10+ |
Max 1:50 |
| Gold CFD Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0-5 |
Max 1:1000 |
5.01-10 |
Max 1:500 |
10.01+ |
Max 1:200 |
| Metals CFDs (Except Gold) Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0-10 |
Max 1:500 |
10-15 |
Max 1:200 |
15+ |
Max 1:100 |
| Indices CFDs Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0-75 |
Max 1:300 |
75-150 |
Max 1:200 |
150-300 |
Max 1:100 |
300-500 |
Max 1:50 |
500+ |
Max 1:20 |
| Futures CFDs Margin Requirements | |
|---|---|
Open Lots |
Maximum Leverage |
0 – 100+ |
Max 1:100 |
