Margin trading

Margin trading is the practice of borrowing money from a broker to trade larger amounts of assets than you could with your own funds alone. This allows traders to amplify their potential profits but also increases the risk of significant losses. Essentially, you use a portion of your own money as a deposit (called margin) and the broker lends you the rest. If the trade goes well, you can make more money; if it doesn't, you might owe more than your initial investment. It's important to understand both the potential rewards and risks involved.