Forex Leverage Calculator

Leverage in forex means two different things, and confusing them is behind many blown accounts. Account leverage is the broker's maximum, such as 1:30 or 1:500: it sets how much margin a position needs. Effective leverage is how much you are actually using: the total value of your open positions compared with the money in your account. Effective leverage is what decides how hard a price move hits your equity.

Effective leverage = Total position value ÷ Account equity
Position value = Lots × Contract size × Price, converted to your account currency

One standard lot of EUR/USD at 1.1000 is €100,000, worth $110,000. Held in a $10,000 account, that is 1:11 effective leverage — whether the broker offers 1:30 or 1:500. The account leverage only changes the margin set aside: $3,666.67 at 1:30, $220 at 1:500.

Effective leverage translates directly into how much each move matters. At 1:11, a 1% move in the position's value is $1,100, or 11% of equity, and a move of about 9.09% against you would cost the whole account. At 1:30 the same wipe-out takes a 3.33% move; at 1:100, a 1% move. In practice the broker closes positions before that, when the margin level reaches its stop-out level.

Maximum position value = Equity × Account leverage
Maximum lots = Maximum position value ÷ Value of one lot

With $10,000 at 1:30 you can control up to $300,000, which is 2.72 lots of EUR/USD at 1.1000 (2.7273 rounded down). That uses $9,973.33 of margin and leaves a margin level of about 100% — the margin-call level at many brokers — so any loss at all puts the account under pressure. The maximum is a ceiling, not a trade size; the calculator lets you cap it at a share of your margin instead.

Retail leverage is capped by regulators. In the EU (ESMA) and UK (FCA) the limits are 1:30 on major currency pairs, 1:20 on other pairs, gold and major stock indices, 1:10 on other commodities and non-major indices, 1:5 on individual shares and 1:2 on cryptocurrencies. "Major" means a pair made of two of USD, EUR, JPY, GBP, CAD and CHF, so AUD/USD and NZD/USD fall under the 1:20 limit. The same rules require brokers to close positions when equity falls to 50% of the required margin and protect retail clients from a negative balance. In the US, the NFA allows 1:50 on major currency pairs and 1:20 on others.

1. Calculate — choose Effective to check a trade, Max size to see the largest position your margin allows, or From margin to find the leverage your broker applied from the margin it charged.
2. Instrument — forex majors, crosses and exotics, gold, silver, indices, oil or crypto.
3. Account currency — position value, margin and equity are shown in this currency. A conversion rate field appears when one is needed, pre-filled with a reference rate.
4. Price — a reference price is filled in; type your broker's price to replace it. For indices and oil the value shown is only an example, so enter the current quote.
5. Account equity — balance plus or minus any open profit or loss (not needed for From margin).
6. Position size (lots) for Effective and From margin. For Max size, Margin to use (%) under More options caps the share of equity committed — 100% uses all of it; 50% keeps half in reserve.
7. Margin charged (From margin only) — the margin your platform shows for the open trade.
8. Account leverage — your broker's leverage, from 1:1 to 1:1000. The hint shows the EU/UK retail limit for the selected instrument.

For a trade you get the effective leverage, the position value, the margin at your account leverage and the resulting margin level and free margin, plus what a 1% move means for your equity. For the maximum size you get the lots (rounded down to 0.01), the position value, the margin used and the effective leverage at that size. From margin gives the account leverage and the margin requirement in %. The table under the calculator highlights the regulatory limit for the selected instrument. Show the math lists each step with your numbers, and Copy link with these numbers saves the inputs in a URL.