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