What happens if you lose a leverage trade?

Have you ever wondered what could potentially happen if you engage in a leverage trade and unfortunately end up losing? It's a crucial question to ask, as leverage trading involves borrowing funds to increase your trading position, which can magnify both your gains and losses. If you lose on a Leveraged trade, you may find yourself facing significant financial consequences. The platform you're trading on may require you to cover the losses, potentially by depositing more funds into your account or facing liquidation of your position. This could lead to significant financial losses, and in some cases, it may even impact your overall financial stability. So, it's important to understand the risks associated with leverage trading and to carefully manage your risk exposure before engaging in such trades.