IC Markets Leverage

IC Markets US Leverage

IC Markets Review

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As you can see in the table above, IC Markets leverage can go pretty high, but this isn’t the case for every country. For example, in Australia, there are regulations that limit leverage to a certain amount. The Australian Securities and Investments Commission (ASIC) limits retail trading leverage at 30:1 for major currency pairs and 20:1 for exotic and minor currency pairs.

This was done because Australian financial authorities believed that leverage—which was once at 1:500—was too high, exposing traders to unsuitably high risks. Therefore, they reduced leverage to reduce the risk associated with trading, making it harder to gain large profits and losses.

EU brokers must also cap leverage at 1:30 for major currency pairs and 1:20 for minor currency pairs.

IC Markets UK Leverage

The available leverage for UK retail traders is 30:1, under The European Securities and Markets Authority (ESMA) regulation. However, you can get maximum leverage of 1:500 if you’re a professional trader.

With a 30:1 leverage, you can open a position that’s 30 times the size of your margin. In other words, you can open a position worth up to 30 times more than the deposit required to open the trade. Any profit or losses you have will also have the same multiplication of 30.

IC Markets Leverage International

IC Markets is a well-known global forex and CFD broker. So, it’s no wonder that its platform is widely used across the world. People from all around the globe can trade on IC Markets. But where you live may determine how much leverage you get with your account. Some jurisdictions have regulatory bodies in place that limit how much leverage you can use on your account in order to help you minimize risk.

For example, like the UK, Germany, Denmark, and France limit forex leverage to 30:1. In Singapore, traders can leverage their trades up to 1:50, while traders in Hong Kong can leverage up to 20:1. On the other hand, South African traders can use leverage up to 1:2000.

In the UAE, brokers offer high leverage of up to 1:500. However, there’s no government-instituted cap on leverage in Saudi Arabia, with some brokers offering up to 1,000:1. The Central Bank of Kuwait (CBK) doesn’t impose leverage limits. However, 1:100 is the typical leverage brokers provide their clients in Kuwait.

Tips for Using Leverage Wisely

Leverage can be an incredibly powerful tool for traders when used properly, but it can also spell disaster if you don't know what you're doing. Based on TU experts’ years of experience trading Forex, here are the top tips for wielding leverage wisely:

• Start small. This can't be stressed enough. If you're just getting into Forex, use very low leverage ratios like 1:10 or 1:20. This gives you exposure to bigger positions without immediately putting your capital at immense risk. Learn the ropes first.

• Build up slowly over time. As you gain experience and confidence, you can gradually increase your leverage ratios. But don't go crazy right away. It's far better to scale up over the course of months and years than to over-leverage early on and blow up your account.

• Set stop losses religiously. With the amplified position sizes leverage provides, you absolutely must use stop losses on every single trade. This will limit your downside when the inevitable losing trades come along. The stop loss is your friend!

• Don't just use leverage to make up for lack of capital. It's tempting to take on huge leverage ratios if your trading account is small, but this is a recipe for disaster. Leverage is a tool, not a band-aid solution!

• Monitor your exposure. Keep tabs on how much leverage you're using across all your open positions. If it starts getting too high for your comfort level, reduce position sizes or close some trades. Don't get stretched too thin.

By starting small, managing risk, and building up leverage slowly over time, you can harness its potential while minimizing the dangers. Use leverage wisely and it can take your trading profits to the next level! Just don't get greedy.