{"id":28,"date":"2026-09-20T16:22:02","date_gmt":"2026-09-20T16:22:02","guid":{"rendered":"https:\/\/brokerspulse.com\/education\/leverage-and-margin\/"},"modified":"2026-09-20T16:22:03","modified_gmt":"2026-09-20T16:22:03","slug":"leverage-and-margin","status":"publish","type":"page","link":"https:\/\/brokerspulse.com\/en_gb\/education\/leverage-and-margin\/","title":{"rendered":"Leverage and margin: what they do to your risk"},"content":{"rendered":"
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Lesson 4<\/p>\n\n\n\n

2 min read \u00b7 Updated September 2026<\/p>\n<\/div>\n\n\n\n

Leverage lets you control a position larger than the money you deposit. It is the reason a small account can trade a standard lot, and the reason a small move can wipe out that account.<\/p>\n\n\n\n

Leverage and margin<\/h2>\n\n\n\n

At 30:1 leverage, US$1,000 of your own money can control up to US$30,000 of currency. The money set aside to hold the position is called margin: margin = position value \u00f7 leverage.<\/p>\n\n\n\n

Position<\/th>Leverage<\/th>Margin needed<\/th><\/tr><\/thead>
1 standard lot EUR\/USD at 1.10 (value US$110,000)<\/td>30:1<\/td>about US$3,667<\/td><\/tr>
Same position<\/td>100:1<\/td>US$1,100<\/td><\/tr>
Same position<\/td>500:1<\/td>US$220<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Equity, free margin and margin level<\/h2>\n\n\n\n