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Dealing >  How big is Margin Call?
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*mici*



Joined: 10 Apr 1980
Posts: 0

PostPosted: Thu Nov 03, 2005 10:18 pm    Post subject: quote

That was my last deal in demo account

Start Balance 2500 USD
Buy EURUSD 400 000 for 1,2074
Margin Call 1,2061 --> loss 520 USD
Final Balance 1980

Question - why did Margin Call begin after only -520 USD which is only 20% of balance?
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*dealer*



Joined: 10 Apr 1980
Posts: -1

PostPosted: Mon Nov 07, 2005 8:21 pm    Post subject: quote

Margin requirements for 10 000 base currency position are $50
So for 400 000 base currency position margin requirements are $2 000. Your position was closed automatically after you free margin (2500 - 2000) has drop to zero.
Please dont trade volumes that you can’t maintain do to lack of deposit.
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