Margin Calculator
Calculate the required margin (collateral) needed to open a forex or CFD position based on your leverage.
Trade Parameters
Margin Explained
Margin is the deposit required to open a leveraged position. Higher leverage = less margin needed, but more risk.
How to Use This Calculator
- Select the currency pair – The instrument you want to trade.
- Enter your trade size – Number of standard lots (1 lot = 100,000 units).
- Choose your leverage – Higher leverage means less margin but more risk.
- Check required margin – Ensure your account has enough free margin.
What is a Margin Calculator?
A margin calculator helps you determine exactly how much capital you need to open and maintain a forex position. Margin is the collateral required by your broker to open leveraged trades.
Understanding margin requirements is essential to avoid margin calls and manage your trading capital effectively. This calculator shows you the required margin based on your position size, leverage, and account currency.
Key Features
- Instant margin calculations
- Multiple leverage options
- All major currency pairs
- Account currency conversion
- Free margin estimation
- Margin level calculator
Frequently Asked Questions
Margin is the amount of money required to open and maintain a leveraged position. It acts as a good faith deposit with your broker. With 1:100 leverage, you only need $1,000 margin to control $100,000 worth of currency.
If your account equity falls below the maintenance margin level (usually 50-100% of used margin), you will receive a margin call. If the equity continues to fall, your broker may automatically close your positions to prevent further losses.
Higher leverage means lower margin requirements. At 1:100 leverage, you need 1% margin. At 1:500 leverage, you only need 0.2% margin. However, higher leverage also means higher risk of margin calls.
Free margin is your equity minus used margin. It's the amount available to open new positions. If free margin reaches zero, you can't open new trades. Monitor free margin to avoid unexpected margin calls.
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Frequently Asked Questions
Margin is the amount of money required to open and maintain a leveraged position. It acts as a good faith deposit with your broker. With 1:100 leverage, you only need $1,000 margin to control $100,000 worth of currency.
If your account equity falls below the maintenance margin level (usually 50-100% of used margin), you will receive a margin call. If the equity continues to fall, your broker may automatically close your positions to prevent further losses.
Higher leverage means lower margin requirements. At 1:100 leverage, you need 1% margin. At 1:500 leverage, you only need 0.2% margin. However, higher leverage also means higher risk of margin calls.
Free margin is your equity minus used margin. It's the amount available to open new positions. If free margin reaches zero, you can't open new trades. Monitor free margin to avoid unexpected margin calls.