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Margin Liquidation Calculator

Safe Margin Level Gold Trading

A margin call is when a xauusd trader's account free margin falls below the required margin level that is set by broker. This means that because free margin in trader's account has dropped below required margin level then trader receives a margin call and some of the open trade positions in trader's are closed by online broker til this margin level moves back up to above required gold margin percent region.

Some of the open trade positions might and may be closed or all of the open trade positions might be closed if this margin call is executed automatically by broker.

What's Margin Requirements Level?

Now if Your Leverage is 100:1

When trading if you as a trader have $1,000 and use leverage ratio of 100:1 & buy 1 standard lot for $100,000, the your margin on this trade is $1000 in your account, this is money which you'll lose out if your open trade position goes against you - the other $99,000 dollars that's borrowed, the online broker will closeout the open position transactions mechanically/automatically by using a Gold Margin Call once your $1,000 has been taken out by market.

But this is if your broker has set 0 % Trading Margin Requirements before stopping out your trade transactions automatically/mechanically by using the Margin Call.

What is 20% Margin Requirements Level?

For 20 percent Margin Requirements before stopping out your trade transactions mechanically/automatically using what's known as Margin Call, then your trade transactions will be liquidated once your trading account balance reaches $200 - at $200 you will get a margin call.

What's 50% Margin Requirements Level?

For 50 % requirement for this level before closing out your trade transactions mechanically/automatically using what is known as margin call, then your open trades will be closed out once your balance gets to $500 - at $500 you'll get a margin call.

What's 100% Margin Requirements Level?

If the broker sets 100% Margin Requirement of this level before closing out your open positions automatically/mechanically using a Gold Margin Call - at $1,000 you'll get a gold margin call, then your trade transactions will be liquidated once your trading account balance reaches $1,000: Meaning trade positions will liquidate as soon as you executes a one standard lot on this account because even if you pay 1 pips spread your account balance will get to $990 & the needed Trading Margin Requirement % is 100% i.e. $1,000, hence your orders will immediately get liquidated using a Gold Margin Call once your Trading Margin Requirement falls below 100 percent.

Most brokers don't set 100 % Trading Margin Requirements, but there are those brokers who set 100 % margin aren't suitable for you at all, even those that set 50 % Trading Margin Requirements are still not good-enough. Choose & Select those set 20 percent Trading Margin Requirements, in fact, those brokers who set their trading margin requirement at 20 % Margin Requirement are the best because the likely-hood they close your trade using a Gold Margin Call is minimized just as is displayed on the examples revealed above.

To Learn & Know More about Leverage and Margin - Study the Learn Courses Illustrated Below:

XAUUSD Leverage & Gold Margin Explained with Example

Study More Lessons & Courses:

Forex Market Traders Seminar Gala

Forex Market Traders Seminar

XAUUSD Broker