Best 1:200 Leverage Forex Brokers reviewed in South Africa. Leverage is the trading mechanism that investors use to increase exposure to the market by paying less than the full amount of the investment. It allows a trader to take on a better position without paying the full purchase price by using credit provided by a broker.
Choose your quick section of our 10 Best 1:200 Leverage Forex Brokers below.
Our 9 Best Handpicked Best 1:200 Leverage Forex Brokers Revealed:
- ✔️FXTM
- ✔️FX Primus
- ✔️Goldwell Capital
- Easy Markets
- Colmex Pro
- CM Trading
- JP Markets
- Core Spreads
- Synergy FX
In the foreign exchange markets, leverage is commonly around 1: 100, but some brokers, like those discussed here, however allow leverage of 1:200 or higher.
FXTM
Forextime (FXTM) is a forex broker founded in 2011 and based in Limassol, Cyprus. It is a well-known brand with a global network of offices and regulations across Europe, the Middle East, Africa, Asia and Latin America.
FXTM is authorised and regulated by CySEC, FCA and FSCA and offers trading services to institutional and retail clientele via segregated accounts at top-tier banks, with secure deposits and withdrawals, competitive leverage, tight spreads, and the ability to trade over 250 instruments.
FXTM offers six account types – a standard account, Cent Account, Shares Account, ECN and ECN Zero Account and FXTM Pro Account with MetaTrader 4 and MetaTrader 5 on PC, Mac, mobile or tablet. The minimum deposit to open an account is $10.
FX Primus
FX Primus is a forex broker established in 2009 and based in Limassol and Mauritius, also operating in Cyprus, Vanuatu and South Africa.
It is regulated by the Cyprus Securities and Exchange Commission (CySEC), the VFSC and FSCA in South Africa. Traders can trade forex, spot metals, indices, global equities and other CFDs by using the popular MetaTrader 4 platform.
FXPrimus offers demo accounts and Variable or Standard Accounts, ECN Premium Accounts and a VIP Account. An Islamic account can be opened. FXPrimus further offers Micro, Mini and Standard lot trading in a single account, which can be set up as an individual, joint or corporate account. The broker also offer managed accounts as well as Introducing Broker (IB) and Affiliate accounts.
The minimum deposit required to open an account is $ 500.
Goldwell Capital
Goldwell Capital is a forex broker based in Phnom Penh in Cambodia and is regulated by the Securities of Exchange Commission of Cambodia (SECC). Goldwell Capital was established in 2018.
The company offers derivatives trading such as forex, commodity, precious metals and CFD trading through thousands of markets at low trading costs. Goldwell Capital offers an automated execution process.
Goldwell Capital offers a demo account and one other account type. With trading contract sizes starting from 0.01 lots, it is actually a Micro Account where a trader can manage position according to his strategy. The minimum deposit required to open a live account is $200 and MT4 is provided as trading platform.
Easy Markets
EasyMarkets is a forex broker in Cyprus. EasyMarkets was established as Easy-Forex in 2001 but re-branded in 2016 when it introduced CFD trading.
Spreads are high and the broker charges traders for the usage of its proprietary EasyMarkets Web trading platform through higher spreads than those available on its MT4 platform.
EasyMarkets offers an unlimited demo account and three account types (VIP Account, Premium Account and Standard Account) as well as a swap free account for Muslim traders. A deposit of $100 is required to open a Standard Account.
Currencies, Cryptocurrencies (Bitcoin, Ethereum) and CFDs (Gold, Silver, Other Precious Metals, Stocks, Stock Indexes, Oil, Other Commodities), can be traded.
Colmex Pro
Colmex Pro is an established online broker operating since 2004 and located in Limassol, Cyprus. Their clients can trade Forex, CFD and Stocks with MT4, WebTrader and Colmex Pro Multitrader as platforms.
Colmex Pro is regulated by the CySEC in Cyprus under the MiFID, in South Africa by the Financial Services Board and is a member of the Investor Compensation Fund (ICF).
Colmex Pro offers two types of accounts: a live Equities/CFDs trading account and a live Forex trading account. The Equities/CFDs trading account can be opened with a $250 deposit.
CM Trading
CM Trading is a forex broker based in Johannesburg, South Africa, where it is regulated by the FSCA.
CM Trading provides MT4 for trading in Forex, Index and Commodities, including Cryptocurrencies. CM Trading also provides Sirix and a copy trading platform CopyKat for clients to learn best practices about trading.
CM Trading provides a Bronze Account, Silver Account, Gold Account and Premium Account as well as the option for an Islamic Account. The minimum deposit required to open the Bronze Account is $250.
JP Markets
JP Markets is another South African forex broker company based in Johannesburg. It was established in 2016. JP Markets serves clients in several countries with trading in Forex, metals and other instruments on an STP basis.
JP Markets offers MetaTrader4, the JPMarkets platform and JPMarkets App for Android or Apple as trading platforms and a choice between two account types, an STP standard account and an ECN account. Clients can enjoy PAMM services as well.
JP Markets does not require a minimum deposit but a minimum of around $200 are recommended.
Core Spreads
Core Spreads was established in 2014, and its head office is in London. Core Spreads is authorised and regulated by the Financial Conduct Authority of the United Kingdom.
Core Spreads provides access to thousands of markets via two trading platforms, CoreTrader 2 and MetaTrader 4 with which traders can trade CFDs and forex in more than 30 currency pairs, as well as gold, silver and Brent crude oil.
Core Spreads offers a demo account and two types of live accounts with similar trading features.
The broker does not prescribe a minimum amount to open an account, but clients need to deposit at least $10 to cover a minimum margin for the smallest trade. The broker does not offer Islamic accounts.
Synergy FX
Synergy FX is a forex broker company in Sydney, Australia. Synergy FX was founded in 2011 and was acquired by the Australia forex dealer ACY Capital in 2018.
Synergy FX’s execution is performed through a No Dealing Desk which gives extra benefits and ability to speculate, hedge and manage risks.
Synergy FX offers a Demo account, Micro account, Standard account, ECN account and STP account, and an option for an Islamic Account. The minimum deposit required to open an account is $100. MT4 and MT5 are provided to trade 41 FX pairs, 4 types of precious metals and 15 global stock indices.
How does leveraging work?
Leverage can be defined as the ability for a trader to open a substantially larger position than the value of his available capital. When using leverage, a trader can ‘expand’ the trading power of his money with much bigger positions.
In the same way it is also possible for leverage to multiply a trader’s losses. Fortunately, the more credible trading brokerage will prevent traders from losing more than they have deposited through negative balance protection.
People with little capital are often attracted to high leverage offers because they want to become much wealthier in a shorter time. Leverage is a risk, and the higher the leverage the higher the risk.
Leverage poses benefits and risks
Here are some of the pros and cons of trading Forex with brokers that offer very high leverage.
The benefits of trading with high leverage in Forex
- High leverage gives a trader the opportunity to trade with low capital – When there is no leverage, only people with large amounts of capital would be able to make huge returns. With Forex brokers offering leverage, any trader is theoretically able to make huge returns.
- Leverage is interest-free – Although a trader in fact get these funds from a Forex broker, the loan doesn’t incur any interest. If a person wants to start trading, he can get the loan with less fear for he isn’t expected to pay any interest.
- Leveraging increases your profitability as a trader – Utilizing leverage in the trading process, increases the scope of a person’s profit. If a trader has 100 dollars, he has a chance to trade with up to 100 000 or more dollars with the assistance of leveraging and trading with bigger amounts increases the scope of a person’s profit.
The cons of trading with high leverage in Forex
- Heavier losses – Trading with leverage increases a trader’s probability of getting higher profits but at the same time, it also paves the way for heavier losses. Big profits may turn out to be smaller and a small loss turns out to be much bigger.
- Leverage is a constant liability – Leveraging builds an immediate liability that must be met eventually and must be paid before you can continue trading.
- Margin call risk – There is a constant risk that a trader may fall under the margin requirements set by a broker. If a trader falls below the threshold at any point the broker may instigate a margin call which automatically liquidates a person’s portfolio.
Conclusion
Despite the possible disadvantages associated with leveraging a trader shouldn’t be put off leveraging trade, since the pros outweigh the cons. Traders should just be aware of the pitfalls of leverage of 1:200 or higher, and trade with discipline.
Top 4 Brokers
