Leverage lets you control a large position with a small deposit. 1:100 leverage means $1,000 controls $100,000 of currency. That's the upside — and the trap.
The risk isn't leverage itself; it's position size. Even on 1:500 leverage you can risk just 1% per trade if your stop and lot size are correct.
Use leverage as flexibility, not aggression. Decide risk first, then size the position back into the trade.
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