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Leverage increases risk, but proper risk management and knowledge are key. Without a solid plan, many traders perceive Forex as too risky. Education and strategy help manage risk, making it more controllable and less dangerous.Forex is risky as long as we have risk ratio lowering. Yes, you told right. The higher the leverage is, the higher the risk is. But, we have the option here to lower our risk ratio so Forex is not risky indeed. However, knowledge is more important than leverage because there are millions of traders to whom Forex seems risky just because they don’t have any money management plan and they know not how to lower the risk ratio.