Margin and Leverage

Leverage is one of the driving forces behind trading Forex. It can be exercised in the form of a ratio and works directly with the margin decided by Zero. The standard leverage of Zero accounts is 1:100, therefore if you wish to have greater leverage such as 200:1, the margin needed to open and get hold of a Margin FX contract declines to half in this case. This is the reason why clients find it feasible to opt for margin based trading which allows them to gain increased exposure to the Forex market. In addition to the greater profit, you will also be exposed to losing more in order to evaluate your personal risk.

At Zero, we offer particular leverage bands to help you determine the amount of leverage you are allowed on your trading account.

Example of how leverage works

If you want to check your leverage in MT4 and MT5, go to the navigator and click on ‘Accounts’. Hover your cursor over your account number and you should see your leverage and base currency.