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Margin & Leverage

Trade with a flexible leverage up to 1:400 and trim your account margin

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What Is a Margin

Margin is deemed as the deposit needed when a trader enters the market to keep positions open. It is not a transaction fee, rather it is a tiny piece obtained from trading accounts equity. Margin requirements are established by HQBroker by taking a percentage of the estimated trade size plus a little bit of safeguard.

About Leverage

Leverage is vital tool for investors as it allows them to raise their market exposure to a point that goes beyond the initial investment. Given that an investor opens an account with margin requirements, he will have to trade on margin to let him open trades that are larger than the initial capital.

HQBroker offers a versatile selection of leverage ratios where investors can choose to trade using 1:1000 up to 1:400 leverage. Those who trade with a high leverage ratio can either gain with big profits or wind up with a negative balance. For that reason, it is imperative that a trader is really familiar with regards to the proper usage of leverage and the risks that comes with it when trading on margin.

Margin Call & Stop Outs

Margin calls and stop outs are used for improved risk management strategies, controlling the possibility of having a negative account balance. When trading on leverage, a trader uses borrowed funds from the broker to trade at higher levels. Margin calls and stop outs come into the picture since the capital placed to the account is used as collateral on which the loan is rooted.

The margin call initially informs the trader that the account margin point is reaching the minimum level. A stop out occurs when the account balance is below the margin call, compelling the trading platform to automatically end opened positions.

Deposit AmountLeverage
100-10,000 USD up to 1:400
10,001+ USD up to 1:1000