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Newbie to Futures: Margin relative to account size

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Market Wizard
Boca Raton
 
Trading Experience: Advanced
Platform: Variety
Broker/Data: Optimus Futures, LLC
Favorite Futures: Futures
 
mattz's Avatar
 
Posts: 2,415 since Sep 2010
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@sienna
You should separate the idea of margins and the risk you are taking on trades.
They are not related. If you use $500 as a day trading margin, it does mean you should use that as a deposit.
Day trading margins are a broker invention, while the risk management and the risk you take is your own.
Your initial deposit should reflected the risk you take, while counting that you may be stopped out a number of times.
Matt
Optimus Futures

There is a risk of loss in futures trading. Past performance is not indicative of future results.

PM with any questions about optimusfutures (800) 771-6748 (561) 367 8686. THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES TRADING.
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