Help understanding margin
futures io futures trading

Help understanding margin

Emini and Emicro Index

Created December 20th 2018 by Banars
Updated December 21st 2018 by TradingOgre
looks_oneTradingOgre with 1 posts (8 thanks)
looks_twoBanars with 1 posts (0 thanks)
trending_up851 views
thumb_up8 thanks given
forum1 replies
attach_file0 attachments

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 100,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Thread Tools Search this Thread

Help understanding margin

  #1 (permalink)
La Rioja
Posts: 2 since Dec 2018
Thanks: 1 given, 0 received

Help understanding margin

I know this has been asked many times still, after reading a lot, I found contradictory explanations about initial margin and intra-day margin and my experience using MT5 demo accounts.

I have never operated with real money yet, only with demos.

This is AMP Global broker's margins for the E-mini S&P 500 Index:

Mantainance margin: $6000
DayTrade margin: $400

As it explains in that same page an other webs this means that with a balance of $5000 I would be able to trade 12 contracts at the same time ($5000 / $400). Is that right? MT5 demo demonstrates it works that way.

But my confusion comes with an other broker, TradeStation.

That broker adds initial margin (again for e-mini s&p 500):

Initial margin: $6600
Mantainance margin: $6000
DayTrade margin: $1650 ($6600 * %25)

Reading everywhere about initial margin I understand that to operate just 1 contract I would need to have at least $6600 in my account (initial margin), and as TradeStation doesn't offer free demo accounts without funding I cannot test in advance to see how it really works.

But this calculation doesn't seem right compared to AMP Global.

So my problem is understanding initial margin properly. Some say this is the amount needed to open a trade but others say that daytrade margin is the one needed to open a trade.

Basically what I want to know is...

In TradeStation how much (if any) contracts can I operate at the same time with a $5000 balance?

And why AMP Global doesn't have an initial margin?

Reply With Quote

Can you help answer these questions
from other members on futures io?
My first live futures account
Beginners and Introductions
Larry William's Pinch & Pauch
Beginners and Introductions
Drummond Geometry Inquiry
Trading Reviews and Vendors
Follow Big MM for profit
Traders Hideout
conversion of proRealTime code to EasyLanguage code (school project))
EasyLanguage Programming
Best Threads (Most Thanked)
in the last 7 days on futures io
ES futures Spoo-nalysis SP500/SPX
331 thanks
Recession? Depression? Bailout!
172 thanks
Coronavirus COVID-19
168 thanks
Is Orderflow An Outdated Concept?
161 thanks
Gold Futures (GC) main discussion
55 thanks
  #3 (permalink)
Market Wizard
Evans GA/USA
Trading Experience: Intermediate
Platform: NinjaTrader
Broker/Data: NinjaTrader Brokerage - Philip Capital
Favorite Futures: NQ,ES,6E,CL
TradingOgre's Avatar
Posts: 549 since Jul 2018
Thanks: 902 given, 1,632 received

Day Trading Margin: Also called Intra-Day margin is the amount needed to open a trade during normal trading hours. Need to be careful as "normal" trading hours can vary from broker to broker. Most will just say anytime the instrument in question is trading. Others will say only during US session. Check with the broker for clarification.

Initial margin: This is the margin required to hold a trade past market close on the first day you hold the contract.
Maintenance margin: This is the margin required to hold a trade past market close on any day after the first day. If a broker doesn't use Initial margin then this would be in effect the first day as well.

Visit my futures io Trade Journal Reply With Quote
The following 8 users say Thank You to TradingOgre for this post:


futures io Trading Community Traders Hideout Emini and Emicro Index > Help understanding margin

Upcoming Webinars and Events (4:30PM ET unless noted)

futures io is celebrating 10-years w/ over $18,000 in prizes!

Right now

$250 Amazon Gift Cards with our "Thanks Contest" challenge!

Right now

Social Media Predictive Data for Traders w/Joe Gits @ SMA [and Lime Brokerage]

Apr 9

Similar Threads
Thread Thread Starter Forum Replies Last Post
understanding margin & leverage in emini and futures mcteague Beginners and Introductions 2 April 25th, 2017 12:30 PM
Why do Portfolio Margin (PM) account margin requirements differ so much? Gamma Stalker Reviews of Brokers and Data Feeds 4 December 11th, 2014 10:09 AM
NYSE Margin Debt At Highest Since July Means Threat Of Margin Calls High kbit Traders Hideout 0 April 4th, 2012 01:34 PM
CME Goes To Margin DefCon 1: Makes Maintenance Margin Equal To Initial For... Everyth kbit Traders Hideout 0 November 4th, 2011 09:29 PM

All times are GMT -4. The time now is 09:40 AM. (this page content is cached, log in for real-time version)

Copyright © 2020 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432,
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts