Adjusting Leverage on Exness
Leverage is a powerful trading feature that allows you to increase your market position with little capital. Leveraging on Exness can be a strategic move you make to increase the potential of your trades. Whether you are trading for higher profits or trying to reduce risk, learning how to adjust your leverage will be fundamental to your trading journey.
Getting Your MetaTrader Ready
Leverage is the use of borrowed capital to increase your trading position beyond what is possible with only your own funds. It shows the level of risk you can take with your capital when trading. So, for example, a leverage of 1:100 means you can control $100 in the market with just $1 of your own money.
Leverage in Trading
When using leverage in trading, you should understand that it has advantages and disadvantages in the form of risks. Leverage allows you to open positions that are significantly larger than your initial deposit, meaning greater potential profits should the market move in your favor. The downside is that it increases losses if the market moves against you. A 1% market move can either double the value of your investment or wipe it out entirely if you used 1:100 leverage. This is why it will be important to use leverage carefully. On Exness, traders can choose their own leverage and change it based on the specific trading conditions they can trade.
Leverage Options Available on Exness
Exness has various leverages options to cater for all types of traders. Whether you are new to trading or have been on the field for years, there is a leverage level which can be best suited for your trade Exness provides the trader with a leverage choice ranging from low to high, for example 1:50 and up to 2000 later on. You may even be able to use unlimited leverage in certain situations. The benefit of this variance is that you can handle more money in the market using far less of your own.
High leverage can help you make bigger trades, but it also means there’s a higher risk. This way you have the potential of making much higher profit if the market moves in your favour. Should the trade go against you, your expenses will also increase. There are some options for lower leverage if you would like to trade more conservatively. That way you can mitigate your risk easier and trade with a little more peace of mind.
Instructions for Changing Leverage on Exness
Changing your leverage on Exness is easy and can be done in just a few steps. Here’s how you can do it:
- Log in to Your Account: First, go to the Exness website and log in to your Personal Area.
- Choose Your Account: After logging in, find the account you want to change the leverage for. This can be done from the “My Accounts” section.
- Change the Leverage: Click on the leverage setting for that account. You’ll see a list of options. Pick the one that best fits how you want to trade.
- Confirm the Change: Once you’ve selected the new leverage, confirm it. The change will take place right away.
- Keep an Eye on Your Account: Remember, changing leverage affects your trading. It can change how much margin you need to keep your positions open. Make sure to check your account balance and margin regularly to avoid any issues.
Risks Associated with High Leverage
High leverage can allow you to earn more money with a small investment, but there is a risk of losing all your capital.This means, when you are operating at a high leverage, even the slightest market movement can take account to off balance. You can earn a huge profit if the market goes in your favor.
However, if the market goes against you it can lose quite a lot more than anticipated. A margin call is another risk. This occurs when your losses have made your account balance too low. If so, you might having to fund your account for more money or the broker could closing you out of trades in an effort to stop potential losses.
Regulatory Limits on Leverage
The risk in leverage can also go the other way, though — this is why there are limits to how much of it you can use. Countries have different limits to secure traders.
In Europe, for example, a maximum leverage of 1:30. In the United States case of major currency pairs, it is 1:50. These restrictions are meant to protect traders from over-exposing expenses.
The leverage that is available for you to use at Exness might be subject to the rules in your country and which asset. They enable you to trade safely and per the rules.
Leverage Management Best Practices
Using leverage in trading can be powerful, but it also comes with risks. Here’s how to manage it safely:
- Know Your Risk: Understand how much risk you’re comfortable with. Higher leverage can mean bigger gains, but also bigger losses.
- Watch Your Trades: Regularly check your trades and account balance. Markets can change quickly.
- Start Small: If you’re new to trading, start with lower leverage. This helps you learn without risking too much.
- Avoid Over-leveraging: Don’t use the highest leverage just because you can. Too much leverage can lead to large losses.
- Use Stop Losses: Set stop-loss orders to limit your losses if the market moves against you.
- Keep Enough Funds: Make sure you have enough money in your account to support your trades and avoid margin calls.
- Adjust as Needed: Review and change your leverage as the market and your trading goals change.
Frequently Asked Questions
What is leverage in trading, and how does it work?
Trading leverage enables you to control a large sum of money with just a fraction of your own. With leverage, $1 allows you to control around $100 in the market (at 1:100). This can boost your profits, but it also comes with the risk of losing an increased amount if the market moves against you.
What leverage options are available on Exness?
Exness offers an array of leverage levels. From 1:50 to 1:2000 — such a leverage you have the right to set in depending on your choice. You can also leverage with unlimited credit in some cases. These do vary depending on your account type, which assets you trade and where you are located.
What are the risks associated with using high leverage?
Leverage has its advantages and disadvantages in the form of risks. If the market goes the other way, you may fail. Alternatively, you may receive a margin call, which requires additional money to your account to keep your trades open. If you fail to do this, there is a risk that your deals will be closed and you will incur even more costs.
Can I change my leverage at any time on Exness?
You can change the level of credit leverage to the one you need at any time. All you have to do is log into your account, visit the settings of the account you want to change and select another level. The changes are immediate.
Where can I find more information about leverage and margin on Exness?
To learn more, go to the Exness website, namely in the section Help Center. In case you have any queries, Exness customer support is available round the clock.
You may also be interested in:
