Gold Spot / U.S. DollarEducation
Smart Money Concept.
What is margin? How to Trade with Margin.
Margin is a pivotal concept of Forex trading which is often misunderstood or neglected by
traders. A margin is a portion of your account equity set aside and assigned as a good-faith
deposit to hold open a position. It is often expressed as a percentage of the full amount of
the chosen position.
In the case of a trade using leverage 100:1, the account margin required would be a
minimum of one percent (1%). So, if you choose to execute an order for a standard lot
($100,000) at 100:1, then you would be required to have a minimum of $1,000 as a margin
in order to proceed
Margin is a pivotal concept of Forex trading which is often misunderstood or neglected by
traders. A margin is a portion of your account equity set aside and assigned as a good-faith
deposit to hold open a position. It is often expressed as a percentage of the full amount of
the chosen position.
In the case of a trade using leverage 100:1, the account margin required would be a
minimum of one percent (1%). So, if you choose to execute an order for a standard lot
($100,000) at 100:1, then you would be required to have a minimum of $1,000 as a margin
in order to proceed
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