What is leverage?
TenTrade allows you to set your own trading limits with the freedom to choose a leverage ratio ranging from 1:1 to 1:500, depending on your trading goals, exposure needed and risk appetite. In Forex trading, price movements are always measured in pips, which are the smallest conversion in currency rate, found in the second to fourth fraction place of the rate depending on the currency instrument.
When, for example, a currency pair like USD/CAD has a rate that has increased from 1.3450 to 1.3550, then there is a price movement of 100 pips. If an investor trades with large amounts, say, $30,000, while seeing a movement of 100 pips, they can really make good profit by using a high leverage ratio to gain exposure.
Stop out level on all our accounts is set to 30%.
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What is Margin?
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RISK DISCLAIMER “Contract for Differences” (CFDs) are usually leveraged products. Trading Over-The-Counter (OTC) CFDs related to commodities, Forex, Indices and Shares, carries a high level of risk and can result in the loss of all of your investment. As such, CFDs may not be appropriate and/ or suitable for all investors. You should not invest money that you cannot afford to lose. Before deciding to trade, you should be aware of all the risks associated with OTC CFDs trading, and seek advice from an independent and suitably licensed financial advisor. Past performance does not constitute a reliable indicator of future results. Future forecasts do not constitute a reliable indicator of future performance. General information and/ or recommendations provided by the Company should not be interpreted as investment advice. For more information please visit our General Risk Disclosure Policy.
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