Brokers with great leverage provide the opportunity to trade on the Forex private traders who do not have significant capital. If leverage is 1: 500, this means that by investing $ 100, a trader can buy or sell currencies in the amount of $ 50 000. At the same time losing the virtual capital or withdraw its trader can not. In the case of a failed transaction, when the size of the loss will exceed your available funds, you may lose your deposit.
Now, many brokers offer a high leverage of 1: 500, and some of them provide a leverage of 1: 1000, and sometimes 1: 2000. Using a large leverage allows you to quickly increase your capital. But at the same time, a large amount of leverage may result in loss of deposit. So you should carefully approach the choice of leverage before the beginning of trading on the Forex.