⚠️ For educational purposes only. Not financial advice. Always use proper risk management.

Leverage Calculator

Understand your true exposure when trading with leverage.

Total Exposure
Amplified Gain
Amplified Loss
Return on Equity
% Move to Wipe Out

Understanding Leverage

Leverage amplifies both gains and losses proportionally. At 10:1 leverage, a 1% move in the underlying = 10% gain or loss on your equity. At 100:1 (common in retail forex), a 1% adverse move wipes out 100% of your account.

Most professional traders use 2:1 to 5:1 leverage at most. Prop firm trading often involves high notional leverage but controlled by strict stop losses and position sizing rules.