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Margin Call ( How to avoid it )

  #4 (permalink)

Posts: 232 since Sep 2010

Thanks mattz

So, if I understand it correctly, the Formula would be......

1. The initial margin to trade 1 micro Lot on EUR/USD = $20
2. $20 per micro Lot x 10 Lots = $200 ( margin )
3. Max Risk on the trade is $100
4. So the amount of $ ( margin ) I'd have to have in my account at minimum would be $200 + $100 = $30

Just making sure I'm calculating required Margin requirement, as to avoid getting a Margin Call on say 1 trade that goes against me , while at the same time I have 2 other trades going on, that i am Profitable on, and because I'm not funded enough in my account ( covered ), to avoid having all of my " Profitable trades " be closed, to cover a Margin Call

Thanks again - Michael

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