# High Leverage – Low Margin

Source: https://www.tradersway.com/why-us/high-leverage-low-margin/
Language: en
Updated: 2023-01-13
Description: Trader's Way offers leverage up to 1:1000 on MT4/MT5 accounts and 1:500 on cTrader. Trade larger positions with minimal capital while managing risk with our…

We provide excellent margin trading conditions for all types of accounts. You can enjoy the maximum leverage of 1/1000 both on our Standard accounts and ECN accounts.
 You can begin to trade with a leverage ratio of 1:1, though we do not recommend it. A leverage ratio is just a credit ratio. A margin call may occur quickly even though you have sufficient funds on your account.



For example:



Your account has a leverage ratio of 1:100. If you open a position for 100,000 EUR/USD at the rate of 1.40, your margin will be 100,000 x 1.40 / 100 = 1400.



If you have made a trading error and the price starts to go against you, your equity will start to approach 0 and your position will be closed when your equity reaches the following amount:



X = Stop-Out level x Margin = 0.4 (40%) x 1400 = 560



That is, the system will automatically close your positions when your equity reaches $560 in this case, given your leverage ratio of 1:100.



If you set a lower leverage ratio on your account, such as 1:10, then the margin will be 140,000 / 10 = 14,000, and your positions will be closed when the equity reaches the following amount:



X = Stop-Out Level x Margin = 0.4 (40%) x 14000 = 5600



As you can see, the lower the ratio, the higher the equity amount at which your positions will be automatically closed. That means it is better to choose a higher leverage ratio, but not trade at the maximum level or open positions of large volumes. This will greatly reduce your trading risks.



We do not recommend using a real leverage ratio greater than 1:20 in trading, but the final decision is up to you. Our system allows you to have a leverage ratio up to 1:1000. The margin will be only 0.1% of the volume of opened positions.



Please keep in mind that the use of a high leverage ratio leads to very high risks. Remember that the more you can earn, the greater the risk of losing your money. Be reasonable and pay attention!

## Translations

- [es](https://www.tradersway.com/es/por-que-traders-way/margenes-bajos/)
- [fr](https://www.tradersway.com/fr/pourquoi-nous-4/effet-de-levier-eleve-faible-marge/)
- [id](https://www.tradersway.com/id/mengapa-kami/leverage-tinggi-margin-kecil/)
- [ms](https://www.tradersway.com/ms/kenapa-kami/margin-rendah/)
- [th](https://www.tradersway.com/th/%e0%b8%97%e0%b8%b3%e0%b9%84%e0%b8%a1%e0%b8%95%e0%b9%89%e0%b8%ad%e0%b8%87%e0%b9%80%e0%b8%9b%e0%b9%87%e0%b8%99%e0%b9%80%e0%b8%a3%e0%b8%b2/%e0%b9%80%e0%b8%a5%e0%b9%80%e0%b8%a7%e0%b8%ad%e0%b9%80%e0%b8%a3%e0%b8%88%e0%b8%aa%e0%b8%b9%e0%b8%87-%e0%b8%a1%e0%b8%b2%e0%b8%a3%e0%b9%8c%e0%b8%88%e0%b8%b4%e0%b9%89%e0%b8%99%e0%b8%95%e0%b9%88/)
- [lo](https://www.tradersway.com/lo/%e0%bb%80%e0%ba%9b%e0%ba%b1%e0%ba%99%e0%ba%ab%e0%ba%8d%e0%ba%b1%e0%ba%87%e0%ba%88%e0%ba%b6%e0%bb%88%e0%ba%87%e0%ba%95%e0%bb%89%e0%ba%ad%e0%ba%87%e0%bb%80%e0%ba%9b%e0%ba%b1%e0%ba%99%e0%ba%9e%e0%ba%a7/%e0%ba%a5%e0%ba%b0%e0%ba%94%e0%ba%b4%e0%ba%9a%e0%ba%84%e0%bb%88%e0%ba%b2%e0%ba%81%e0%ba%b2%e0%ba%87%e0%ba%aa%e0%ba%b9%e0%ba%87-%e0%ba%aa%e0%bb%88%e0%ba%a7%e0%ba%99%e0%bb%81%e0%ba%9a/)
- [vi](https://www.tradersway.com/vi/tai-sao-la-chung-toi/don-bay-cao-ky-quy-thap/)
- [bn](https://www.tradersway.com/bn/%e0%a6%95%e0%a7%87%e0%a6%a8-%e0%a6%86%e0%a6%ae%e0%a6%be%e0%a6%a6%e0%a7%87%e0%a6%b0-%e0%a6%b8%e0%a6%be%e0%a6%a5%e0%a7%87/%e0%a6%89%e0%a6%9a%e0%a7%8d%e0%a6%9a-%e0%a6%b2%e0%a6%bf%e0%a6%ad%e0%a6%be%e0%a6%b0%e0%a7%87%e0%a6%9c-%e0%a6%b8%e0%a7%8d%e0%a6%ac%e0%a6%b2%e0%a7%8d%e0%a6%aa-%e0%a6%ae%e0%a6%be%e0%a6%b0%e0%a7%8d/)
- [zh](https://www.tradersway.com/zh/wei-shen-me-xuan-ze-wo-men-3/di-bao-zheng-jin/)
- [pl](https://www.tradersway.com/pl/dlaczego-z-nami/wysoka-dzwignia-niski-margin/)
- [fa](https://www.tradersway.com/fa/%da%86%d8%b1%d8%a7-%d9%85%d8%a7-%d8%9f/%d9%84%d9%88%d8%b1%db%8c%d8%ac-%d8%a8%d8%a7%d9%84%d8%a7-%d9%88-%d9%85%d8%a7%d8%b1%d8%ac%db%8c%d9%86-%da%a9%d9%85/)
- [ar](https://www.tradersway.com/ar/%d9%84%d9%85%d8%a7%d8%b0%d8%a7-%d9%86%d8%ad%d9%86%d8%9f/%d9%87%d8%a7%d9%85%d8%b4-%d8%b5%d8%ba%d9%8a%d8%b1/)
- [tr](https://www.tradersway.com/tr/neden-biz/yuksek-kaldirac-dusuk-marjin/)
- [ja](https://www.tradersway.com/ja/%e3%81%aa%e3%81%9c%e7%a7%81%e3%81%9f%e3%81%a1%e3%82%92%e9%81%b8%e3%81%b6%e3%81%ae%e3%81%8b/high-leverage-low-margin/)
- [ko-kr](https://www.tradersway.com/ko/%ec%99%9c-%ec%a0%80%ed%9d%ac%eb%a5%bc-%ec%84%a0%ed%83%9d%ed%95%b4%ec%95%bc-%ed%95%a0%ea%b9%8c%ec%9a%94/high-leverage-low-margin/)
- [pt-br](https://www.tradersway.com/pt-br/por-que-nos/high-leverage-low-margin/)
- [ur-pk](https://www.tradersway.com/ur/%db%81%d9%85-%da%a9%db%8c%d9%88%da%ba/high-leverage-low-margin/)

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