Leverage
Borrowed capital used to amplify exposure beyond posted margin.
5x leverage means a $1,000 position controls $5,000 of exposure. A 20% adverse move liquidates that position entirely.
Leverage does not change a strategy's edge — it only amplifies both wins and losses. Most professional traders cap effective leverage at 2–3x and size based on dollar-risk-per-trade rather than maximum permissible leverage.
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