Leverage Options Available
Exness offers various leverage options for different types of traders. The leverage you can use depends on the account type and the assets you trade.
For new traders or those who want more flexibility, the Standard Account is a good choice. It has leverage up to 1:2000, so you can trade larger positions with a smaller deposit.
The Raw Spread Account is great if you want tight spreads and don’t mind paying a small commission per trade. It also offers leverage up to 1:2000, just like the Standard Account.
If you prefer tight spreads without commissions, check out the Zero Account. It has the same high leverage as the Standard and Raw Spread Accounts.
Experienced traders can opt for the Pro Account, which provides leverage up to 1:2000. However, these accounts may have some restrictions based on the trader’s profile and regulations.
Exness lets you adjust your leverage within certain limits. This flexibility allows you to manage risk based on market conditions and your trading style.
Keep in mind that the leverage available can vary depending on the asset you’re trading. Forex pairs usually have the highest leverage (up to 1:2000), while commodities and stocks may have lower limits.
Maximum Leverage by Exness Account Type
Exness provides different maximum leverage limits based on the type of account you hold. Here’s a breakdown of the available leverage by account type:
- Standard Account: Maximum leverage of 1:2000
- Raw Spread Account: Maximum leverage of 1:2000
- Zero Account: Maximum leverage of 1:2000
- Professional Accounts: Maximum leverage of 1:2000, but typically lower leverage might be applied based on the trader’s risk profile and regulatory restrictions.
How Leverage Works on Exness MT5
Leverage is a powerful tool that allows traders to control larger positions with a smaller amount of capital. On Exness MT5, leverage can significantly amplify both your profits and your risks. Understanding how leverage works is crucial to manage your risk effectively and make the most of your trading opportunities.
Leverage Calculation Examples
For instance, if you have a leverage of 1:500 and you want to trade a 1 lot position of EUR/USD (which is worth $100,000):
- Required Margin = $100,000 ÷ 500 = $200.
- This means you only need to deposit $200 to control a position worth $100,000.
Margin Requirements
Margin is the amount of money required to open and maintain a trading position. It acts as a security deposit to cover potential losses. The higher the leverage, the lower the margin requirement for each trade.
- High leverage reduces the margin required, which means traders can open larger positions with smaller deposits.
- However, using higher leverage increases the risk of losing a larger percentage of your trading capital if the market moves against you.
Stop Out Levels
On Exness MT5, Stop Out levels are used to automatically close your positions if your margin level falls below a certain threshold. This is done to protect traders from excessive losses.
If your available margin drops below the required margin level, your position will be closed automatically to prevent further losses.
For many Exness accounts, the Stop Out level is set at 50%, but this can vary depending on the account type and leverage used.
Risk Management with Leverage
While leverage can amplify potential profits, it also magnifies risks. Proper risk management is essential when trading with leverage:
- Use Stop-Loss Orders: Protect your trades by setting stop-loss orders to limit losses.
- Risk Only a Small Percentage: Avoid risking more than a small percentage of your trading capital on a single trade (usually 1-3%).
- Monitor Margin Levels: Ensure that you always have enough margin to prevent your positions from being closed prematurely.
Advanced Leverage Features
Exness MetaTrader 5 (MT5) offers a range of advanced leverage features designed to give traders more control over their trades and the ability to manage risk more effectively. These features are tailored to suit a wide variety of trading styles, from retail traders to professional investors, providing flexibility while maintaining a strong focus on risk management.
Exness offers a variety of advanced leverage features for professional traders:
- Adjustable Leverage: You can change your leverage at any time, giving you flexibility depending on the market conditions.
- Leverage for Different Instruments: The available leverage may vary depending on the asset class (Forex, commodities, etc.). Typically, Forex pairs have higher leverage than stocks or indices.
- Leverage on MetaTrader 5: On MT5, you can manage your leverage settings directly from the platform, ensuring greater control over your trades.
FAQs
What is the maximum leverage on Exness MT5?
Exness offers a maximum leverage of 1:2000 on most account types, such as Standard, Raw Spread, and Zero Accounts.