to traders. Foreign exchange market is known for its high leverage. Even 1:10 leverage can be considered significant as it increases traders funds tenfold. With the companies presented here, you can trade Forex with 1:1000 leverage and higher. Such a high leverage presents an opportunity to open FX positions using very small amounts of margin funds and can be useful to traders employing aggressive trading strategies or to those who need to open a large number of trades simultaneously.
Some retail FX regulators limit the maximum leverage on currency pairs to 1:25, 1:50, or similar. Obviously, these brokers are acting outside of jurisdictions imposing such restrictions. That is why, the brokers listed here may not be available to residents of some countries or territories. However, European brokers that comply with the ESMA restriction of 1:30 maximum leverage on major currency pairs often offer accounts in their offshore subdivisions with a much higher leverage but basically under the same company management. By any means, a Forex trader should be careful when using high leverage it is a knife that cuts on both sides, increasing both potential profit and potential loss. You will find 33 brokers listed in the table below.
High leverage serves a rather specific need in Forex trading. Here is the list of reasons for you to open account with broker offering 1:1000 or higher leverage:
You need to open big positions with small balance size.
You need to open a large number of smaller trades that sometimes have to be on concurrently.
You are using tight stop-loss with prudent risk management your risk tolerance would allow you to open bigger positions unless limited by the margin requirement due to the brokers low leverage.
You are copying trades or following signals of a strategy that requires high account leverage.
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