TradeLocker Leverage: Who Sets It and How to Choose

In short: TradeLocker does not set your leverage. Your broker does, as part of your account conditions. Leverage lets you control a larger position with less margin, but it magnifies losses as much as gains, so choose a level based on your risk, not the maximum on offer.

Traders new to TradeLocker often look for a leverage setting inside the platform. On most accounts, you will not find one, because leverage belongs to your broker account rather than to the software. This guide explains how that works and how to choose a level that suits you.

Who sets leverage on TradeLocker?

Your broker or prop firm. TradeLocker's support centre says that account conditions, including leverage and margin requirements, are determined by your broker, and that TradeLocker does not control your leverage. Brokers configure it in TradeLocker's back office, and it can differ by instrument, for example lower leverage on crypto pairs than on major forex pairs.

How leverage and margin work

Leverage is shown as a ratio such as 1:100. At 1:100, you need 1% of a position's value as margin. Some examples:

• A $10,000 position at 1:100 leverage needs $100 of margin.
• The same position at 1:20 needs $500 of margin.
• At 1:500 it needs $20 of margin.

The margin requirement changes, but the profit or loss per pip on that $10,000 position does not. Higher leverage simply lets you open bigger positions relative to your balance, which is why it increases risk. Our guide on how leverage works goes deeper, with worked examples.

How to choose a sensible level

1. Start from risk per trade. Decide how much of your account you will risk on one trade, for example 1%, and size positions from that.
2. Use less than the maximum. High maximum leverage is not a benefit in itself. Lower effective leverage gives you more room before a margin call.
3. Know your broker's rules. Check the margin call and stop-out levels on your account, and whether negative balance protection applies.
4. Use TradeLocker's risk tools. The order ticket can size your position from the amount you want to risk, which keeps leverage in check automatically.

Read our guide to managing risk in forex for a simple framework.

Leverage at Clarity FX

At Clarity FX you choose the leverage that fits your trading style when you open your account. If you want to change it later, contact our team. You can test how different position sizes feel on a free demo account first.

Trade with leverage you choose. Clarity FX is an ECN TradeLocker broker for forex and crypto pairs, with free demo accounts and no minimum deposit. Open an account.

Frequently asked questions

Can I change leverage inside TradeLocker?

Usually not. Leverage is an account setting controlled by your broker, so ask your broker if you want to change it.

Is higher leverage better?

No. It lets you open larger positions, which magnifies both profits and losses. Most traders are better served by sizing positions from a fixed risk per trade.

Why is leverage different on crypto pairs?

Brokers can set leverage per instrument, and crypto is usually more volatile, so it often carries lower leverage than major forex pairs.

Keep reading

• TradeLocker fees
• How to calculate pip value
• TradeLocker brokers

Trading forex and crypto on leverage carries a high risk of loss and may not be suitable for all investors. This article is educational and not financial advice. Read our risk disclosure.