Understanding Dynamic Leverage
Dynamic leverage is a mechanism that helps you manage risk better when trading. It adjusts leverage in real-time based on the size of your positions.
For small positions, leverage increases for better use of your margin and potentially bigger returns.
For larger positions, leverage decreases, limiting your exposure and reducing risks.
This allows your trading strategy to remain flexible, adapt to market changes while making the most of market opportunities.
Where You Can Use Dynamic Leverage
Dynamic Leverage Tiers and Margin Requirements
The table below shows how dynamic leverage adjusts based on your position size, affecting the margin you must have in your account. Margin requirement represents the funds you need to open and maintain positions. You can also use the trading calculator to find out your required margin.
Lots - Forex | Lots - Gold (XAUUSD & XAUEUR) | Margin Requirement | Maximum Leverage |
0 - 2 | 0 - 1 | 0.1% | 1:1000 |
2.01 - 200 | 1.01 - 100 | 0.2% | 1:500 |
200.01 - 400 | 100.1 - 200 | 1.0% | 1:100 |
400.01+ | 200.01+ | 3.3% | 1:30 |
Lots - BTCUSD | Lots - ETHUSD | Margin Requirement | Maximum Leverage |
0 - 3 | 0 - 70 | 0.5% | 200 |
3.01 - 10 | 70.01 - 250 | 1.0% | 100 |
10.01 - 30 | 250.01 - 750 | 2.0% | 50 |
30.01+ | 750.01+ | 20.0% | 5 |
Margin Calculation Example
Lots | Applicable Leverage | Margin Calculation | Total Margin Requirement |
1 | 1:1000 | 1 x 100 x 2,355 / 1000 = 236 | $236 |
2 | 1:1000 & 1:500 | 1 x 100 x 2,355 / 1000 + 1 x 100 x 2,355 / 500 = 236 + 471 | $707 |
150 | 1:1000, 1:500, & 1:100 | 1 x 100 x 2,355 / 1000 + 99 x 100 x 2,355 / 500 + 50 x 100 x 2,355/ 100 = 236 + 46,629 + 117,750 | $164,615 |
250 | 1:1000, 1:500, 1:100, & 1:30 | 1 x 100 x 2,355 / 1000 + 99 x 100 x 2,355 / 500 + 100 x 100 x 2,355 / 100 + 50 x 100 x 2,355 / 30 = 236 + 46,629 + 235,500 + 392,50 | $674,865 |
Margin requirement calculation: Lot size x Contract size x Instrument price / Leverage