How to compute the margin?

steelcat · 19 February 2015

Example, Greece 20,

the rate is 252
2000 contract.
after leverage-
the value is =A$75410
The margin is A$1508

-------------------------------
The margin is A$1508,
so the open is A$1508 X100 = A$150,800?
and the leverage must be 2?

the rate is 252,
so one point = AUD$0.3?

ryan11 · 23 September 2016

To compute the margin the formula is

Margin=(Price of currency pairÃ—Lot Size)/Leverage

For example : I am trading in 0.1 lot($10000) of EUR/USD and price is 1.12 and leverage is 100. Then the used margin/margin required to trade is

(1.12*10000 units)/100 = $112

So margin is $112, same is with others(stocks and stock indices).

cynic · 23 September 2016

ryan11 said:
To compute the margin the formula is

Margin=(Price of currency pairÃ—Lot Size)/Leverage

For example : I am trading in 0.1 lot($10000) of EUR/USD and price is 1.12 and leverage is 100. Then the used margin/margin required to trade is

(1.12*10000 units)/100 = $112

So margin is $112, same is with others(stocks and stock indices).

It can vary greatly depending on the broker/provider. I am currently incurring margin of AUD $4.25 on microlots for the EUR/USD. That would translate to $42.50 for a minilot (i.e. 10 x microlots).

How to compute the margin?

steelcat

ryan11

cynic

Similar threads

Privacy & Transparency

Privacy & Transparency