Understanding Leverage in Forex Trading: A Double-Edged Sword with Quant Funded
Leverage is one of the most powerful features of forex trading, but it’s often described as a double-edged sword. It allows traders to control much larger positions than their account balance would normally permit, opening doors to greater profit opportunities—but also exposing them to amplified risks. At Quant Funded, we believe that mastering leverage requires not just understanding the numbers, but also practicing strong risk management. Whether you’re using 1:30, 1:100, or 1:500 leverage, the key is to approach it with discipline and strategy. Used wisely, leverage can accelerate your growth; used recklessly, it can drain your account in minutes.