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Margin Level XAU USD

Example illustration of what's margin on MetaTrader 4 software & What's XAUUSD Trading Margin, What is Required XAUUSD Trading Margin, What's Equity, What's Used Margin & What is Free Trade margin.

XAU/USD Margin, Required Margin, Equity, Used Margin & Free Margin

What is Margin? : Mandatory The amount of money that your broker needs from you in order to establish a position is called the margin. In percentage terms, it is expressed or denoted.

Trade Equity Defined: For Gold Trading, Equity represents the cumulative total of the capital presently held within your account.

Used Margin is the sum of money in your account that was spent opening a trading lot: this is the lot shown and displayed in open position transactions. Once you have registered a position, you cannot utilize this sum of money as you have already used it and it is not accessible to you to start/run yet another trade.

In other terms, because your online broker has opened up a trade position for you using capital you've borrowed, you as a trader must sustain this used margin as a collateral to allow you as a Gold trader to continue using this leverage the broker has issued you.

What is Trading Free Margin? : XAUUSD Trading Free Margin is the amount of money in your trading account which you can use to open/execute new positions. Gold Trading Free Margin is the amount of money in your account that hasn't yet been leveraged because you have not yet opened a trades with this money - this Trading Free Margin is also very key for you because it facilitates you to continue holding your open positions as is explained below.

Examples of What is Margin on MT4 Platform Software

Considering the MT4 margin examples shown below, with the leverage setting fixed at 100:1, the required margin, which equates to 1%, is $2,683.07 - meaning the total capital controlled by the trader amounts to $268,307. This is because, at this leverage level, the trader has utilized a minimal portion of personal funds while borrowing the majority from the broker. With leverage set to 100:1, an xauusd trader is employing 1% of their trading capital, which equals $2,683.07 - thus, if 1% is $2,683.07, then 100% corresponds to $268,307.

Margin Level XAUUSD Trading - Margin Level XAUUSD Trading

MetaTrader 4 Leverage Margin Calculator - XAUUSD Gold Margin Calculation Percent - Margin Level XAUUSD Trading - XAUUSD Gold Margin Calculator

Free Margin - $13,433.48

Free margin displayed in MT4 software can be utilized by the trader to execute additional trades, as seen in the example outlined above.

Used Margin - $2683.07

XAU/USD Margin is the money that the trader has already used to make trades in MetaTrader 4, as can be seen in the example displayed above.

To gain a deeper understanding of Leverage and Margin concepts, please review the educational tutorials below:

What's Margin Level in MT4 Described

More Courses & Guides:

XAUUSD Broker