How is Used Commodity Trading Margin Calculated?

Used Commodity Trading Margin

What's Used Commodities Margin? : amount of money in your account which has already been used up when buying a commodity trade order, this commodities trading order is the one that is displayed in open trades. As a trader you can not use this amount of money after opening a trade order transaction because you have already used it and it isn't available to you.

In other words, because your commodity broker has opened up a position for you using capital you've borrowed, you must maintain this usable margin for your account as a security to allow you to continue using this commodity trading leverage that the broker has given you.

Example of How is Used Commodity Trading Margin Calculated in MT4?

The commodity margin example on MT4 commodity trading Software below, the set commodities leverage ratio is 100:1, the commodity margin which is 1% is $2683.07, therefore the total amount controlled by the trader is: $268,307 - this is because with this leverage the trader has used little of his money & borrowed the rest, with this set at 100:1, trader is using 1 % of their capital, this 1% equals to $2683.07, if 1% equals to $2683.07 then 100% is $268,307

How is Used Commodity Trading Margin Level Calculated?