Tag Archives: margin

What is 5% margin in forex?

5% margin in forex

A 5% margin in forex means that you need to have 5% of the total trade value as margin in your trading account to open and maintain a position. It is the minimum collateral or deposit required by your broker. To calculate the margin amount, you can follow these steps: Here’s an example to illustrate: […]

How to calculate margin?

How to calculate margin

To calculate margin, you need to determine the margin requirement set by your broker and the total value of the trade. Here’s a step-by-step guide on how to calculate margin: In this example, let’s assume you want to trade 2 lots of a currency pair with a contract size of 100,000 units per lot and […]