What's Margin Level Meaning in MT4 Platform?
Examples of what is commodity margin on the MT4 platform and What is Commodities Margin, What's Required Commodities Margin, What is Commodity Trading Equity, What's Used Commodities Margin & What's Free Commodities Trading margin.
Commodity Trading Margin, Required Commodities Trading Margin, Equity, Used Commodity Trading Margin & Free Commodities Trading Margin
What is Required Commodities Trading Margin? : Required Commodities Trading Margin is amount of money your commodity broker requires from you to open a commodity trade position. It is expressed in percent.
What is Commodity Trading Equity? : Commodity Trading Equity is total amount of capital you've in your commodities trading account.
What's Used Commodities Trading Margin? : Used Commodities Margin is amount of money in your commodities trading account which has already been used up when buying a commodity contract, this commodity contract is one that is displayed in the open commodity trade positions. As a trader you can't use this amount of money after opening a commodity trade because you have already used it & it is not available to you to open another commodity trade with.
In other words, because your commodity broker has opened up a commodity position for you using the capital you've borrowed, you must maintain this used margin as a security to allow you to continue using the commodity leverage the broker has given you.
What is Commodities Trading Free Margin? : Commodities Trading Free Margin is amount in your commodities account that you can use to open new commodity trade positions. Commodities Trading Free Margin is amount of money in your commodities account which has not yet been leveraged because you have not yet opened a commodity trade transaction with this money - this Free Commodities Margin is also very important for you as the trader because it enables you as the trader to continue holding your open commodities trades as will be described below.
Example of What is Commodity Margin on MT4 Software
The commodity margin examples on MetaTrader 4 platform 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 their own money & borrowed the rest from commodity broker, with this commodity leverage set at 100:1, the trader is using 1% of their commodity trading capital, this 1% is $2683.07 - if 1% is $2683.07 then 100% is $268,307
What is Commodity Trading Margin Level in MT4 Platform? - What is Commodity Trading Margin Level Explanation in MT4 Software? - Commodities MT4 Margin Calculation
Free Commodity Margin - $13,433.48
Free Commodities Trading Margin which can be used by a trader to open new commodities trades in MetaTrader 4 as displayed on the commodities trading example above.
Used Commodity Trading Margin - $2683.07
Commodities Margin that has already been used by the trader to open commodities trades in MetaTrader 4 platform as shown on commodities trading example above.
To Learn More about Commodities Leverage & Commodities Trading Margin - How Do You Read Learn Commodity Trading Topics Below:
What is Commodities Margin Level in MT4 Discussed
