What is the difference between 1 50 and 1:100 leverage?

In trading, 1:50 leverage is twice smaller buying power than 1:100 leverage. 1:50 means that for every $1 in the trader’s account, a trader can place a trade worth up to $50. 1:100 means that for every $1 in the trader’s account, a trader can place a trade worth up to $100.

How much leverage should I use?

If you have a $2,000 account and you would like to implement a proper risk management strategy on your account, then it would be appropriate to pick 1:50 or 1:100 leverage on the higher side. If you have a $10,000 account balance (this is for intermediate traders), then it would be safe to go for a 1:500 account leverage.

What is 1500 leverage?

In trading, 1:500 leverage is two times smaller buying power than 1:1000 leverage. 1:500 means that for every $1 in the trader’s account, a trader can place a trade worth up to $500. 1:1000 means that for every $1 in the trader’s account, a trader can place a trade worth up to $1000.

What is 100:1 leverage?

100:1 leverage means that for every dollar in your account, you can place a trade worth up to $100. This ratio is a typical amount of leverage offered on a standard lot account. The typical $2,000 minimum deposit for a standard account would give you the ability to control $200,000.