Leverage & margin
Market Basics
Borrowed ammunition
Margin lets you trade with borrowed money: 2x leverage doubles gains AND losses. Fall below maintenance requirements and the broker force-sells you out at the worst moment.
Market Basics
Margin lets you trade with borrowed money: 2x leverage doubles gains AND losses. Fall below maintenance requirements and the broker force-sells you out at the worst moment.
2x leverage, your stock drops 10%. Your account drops…
Leverage multiplies both directions. 10% × 2 = 20% of your equity, gone.
This term has a full interactive lesson in Wick — the chart, the pattern to tap, and a live practice terminal to try it on. Free to start.
Open the lesson