What's Margin Level Meaning on MT4 Platform Software?
Examples of what's margin on the MetaTrader 4 and What's Margin, What's Required Margin, What's XAUUSD Trading Equity, What is Used Margin & What's Free Trade margin.
Gold Margin, Required XAUUSD Gold Margin, Equity, Used Margin and Free Margin
What is Required Margin? : Required XAUUSD Gold Margin is the amount of money your broker requires from you to open a position. It's denoted in percentage.
What's Trade Equity? : XAUUSD Equity is the total amount of capital which you've got on your account.
What is Used Margin? : Used Margin is the amount of money on your account that has already been used when opening a trading contract, this trading contract is one that's high-lighted in open trade positions. As a trader you as a gold trader can not use this amount of money after registering and opening a position because you have already used it & it's not available to you to open another trade with.
In other words, because your broker has opened up a trade position for you using capital you have borrowed, you as a Gold trader must maintain this used margin as a collateral so that to allow you the trader to continue using the leverage the broker has assigned you.
What is Trading Free Margin? : XAUUSD Free Margin is the amount on your account which you as a Gold trader can use to open new positions. XAU USD Free Margin is the amount of money on your account that has not yet been leveraged because you haven't yet opened a trade with this money - this Free Margin is also very important for you because it enables/facilitates you as a trader to continue holding your open positions as will be explained below.
Explanation of What is Margin on MT4 Software Platform
The margin examples in MT4 below, the set leverage option is 100:1, the margin which is 1 % is $2683.07 - hence the total sum controlled by trader is: $268,307 - this is because with this leverage a trader has used little of their own money and borrowed the rest from their online broker, with this leverage option set at 100:1, the trader is using 1 % of their own capital, this 1 percentage is $2683.07 - if 1 percentage is $2683.07 then 100% is $268,307
MetaTrader 4 Leverage Margin Calculation - What's Margin Level on MT4 Platform Software? - What is Trading Margin Level Meaning in MetaTrader 4 Platform? - Gold MT4 Margin Calculation
Free Margin - $13,433.48 dollars
Free Margin that can be used by a trader to open new trade positions on MetaTrader 4 like is displayed on the above exemplification.
Used Margin - $2683.07
XAUUSD Margin that has already been used up by the trader to open trades on the MetaTrader 4 as is revealed on the above exemplification.
To Learn and Know More about Leverage and Margin - Study the Learn Topics Explained Below:
What is Margin Level in MT4 Discussed
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