Leverage is a powerful tool that allows traders to reduce the capital needed to enter a higher volume Forex trade. Kridex offers flexible leverage from 1:1 to 1:500 so that traders have greater trading capabilities and risk controls.
For example, a trader with a balance of 1,000 and leverage of 1:500 can open an order of 500,000 (5 lots), yet with 1:1 leverage and the same capital a trade size of 1000 (0.01 lot) is possible. Therefore, the profit or loss from this trade will reflect the higher volume traded that leverage allows. Higher leverage can multiply potential profits, but can also lead to greater losses and therefore, proper risk management is advised.
Leverage and margin levels are subject to change at any time without prior notice according underlying market conditions and at the sole discretion of the company.