See how much margin a forex or metals trade needs at your chosen leverage.
Position value (USD)—
Required margin (USD)—
Margin as % of position—
What is margin?
Margin is the deposit needed to open and hold a leveraged position. It isn't a fee: it's set aside from your account while the trade is open and released when you close it. The leverage ratio decides how much margin you need. At 1:30, for example, you need 1/30th, or about 3.33%, of the position's value.
The formula
Required margin = position value ÷ leverage, where position value = contract size × lots × price (converted into your account currency).
Example
One lot of EUR/USD at 1.0850 is worth $108,500. At 1:30 leverage the required margin is $108,500 ÷ 30 = $3,616.67.
Free margin and margin calls
Free margin is the equity you have left to open new trades or absorb losses. If losses reduce your equity towards the margin in use, you may receive a margin call and positions can be closed automatically. Leverage available to you depends on the instrument and your account; check it in TradeLocker.
Disclaimer: results are estimates for educational purposes and assume standard contract sizes (100,000 units for forex, 100 oz for gold, 5,000 oz for silver). Check the contract specifications in TradeLocker before trading. CFDs are leveraged products and you can lose your money.
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