One of the unique features of Forex Gama is that we offer leverage as high as 1:1000; this means you only need to use $100 of margin in your trading account to open a 1 Lot trade of USD/JPY. 1:1000 leverage equals 0.1% margin requirements. Don’t forget, the larger your position is, the more risk you take on. You can decide to lower your account leverage to a value that is suitable to your risk appetite. For risk management reasons, we don’t support 1:1000 leverage on all instruments or account types. Please refer to the table below.
|Asset Class||Standard Account||ECN Pro Account||Premium Account||Prime Account|
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Leverage and Margin are crucial in determining your buying power and managing risk. The more leverage that you use to trade with, less margin is needed to maintain positions in your account. If you want to go long or short 1 Lot on EUR/USD, you don’t actually need €100,000 to open that trade.
Even though you can technically open 1 Lot of USD/JPY with just $100 in your trading account, that would be an incredibly risky move. Doing this would use 100% of your account margin. If your trading account is set to 50% Stop Out level, and the market moves just 5 Pips (give-or-take), then you will be close to being stopped out. Considering most currency pairs can swing as much as 100 Pips per day, this is a risk that is likely to play out.