Calculate the minimum capital required to open a position. Optimize your leverage strategy and avoid unwanted margin calls.
Margin is essentially a "good faith deposit" required to maintain an open position. It is not a fee, but a portion of your account equity that is "locked" while the trade is active.
The amount of margin required is determined by your Leverage Ratio. For example, with 1:100 leverage, you only need 1% of the total position value as margin.
While high leverage reduces required margin, it also increases the speed at which your account can be wiped out. Use margin calculations to ensure you have a comfortable "Margin Level" safety buffer.
The total amount of margin currently tied up in all your open positions.
A warning from your broker that your usable margin is falling below required levels, usually resulting in automatic liquidation.
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Explore related calculators to sharpen your edge
Calculate net profit/loss for any currency pair trade in your account currency
Calculate the dollar value of a pip for any lot size and currency pair
Calculate the optimal lot size based on your risk percentage and stop loss
Convert between standard, mini, and micro lots for precise trading