Margin Level Gold
Examples of what's margin in MetaTrader 5 platform and What is XAUUSD Margin, What is Required XAUUSD Margin, What is Equity, What's Used Gold Margin & What's Free Gold margin.
XAUUSD Margin, Required Gold Margin, Equity, Used Margin and Free XAUUSD Margin
What is Required Margin? : Required Margin is the sum of money your online broker requires from you as a trader to open a trade transaction position. It's expressed in percentage.
What is Equity? : Gold Equity is the total sum of capital you have in your trading account.
What is Used Margin? : Used Margin is the sum of money in your trading account that has already been used up when buying a contract, this contract is the one that is displayed in open trade positions. As a trader you can't use this amount of money after opening a trade because you've already used it & it is not available to you to open another trade with.
In other words, because your online broker has opened up a position for you using the trading capital you have borrowed, you as a trader must maintain this used margin as collateral to allow you continue using the trading leverage the online broker has given you.
What is XAUUSD Free Margin? : Gold Free Margin is the amount of money in your trading account which you can use to open new trade positions. Free Margin is the sum of money in your trading account that hasn't yet been leveraged because you haven't yet opened a trade transactions with this funds - this Free Margin is also very important for you because it enables you to continue holding your open trades as explained below.
Example of What is Margin in MetaTrader 5 Trading
The margin examples on MetaTrader 5 below, the set leverage option is 100:1, the margin which is 1% is $2683.07 - hence the total sum controlled by the trader is: $268,307 - this is because with this leverage the trader has used little of their own capital & borrowed the rest from their broker, with this leverage ratio set at 100:1, the trader is using 1% of their trading capital, this 1% is $2683.07 - if 1% is $2683.07 then 100 Percent is $268,307
MT5 Trading Leverage Margin Calculation - Margin Calculator Percent - Margin Level Gold
Free Margin - $13,433.48
Free Margin which can be used by a trader to open new trades in MetaTrader 5 platform as shown and illustrated on the trading example above.
Used Margin - $2683.07
XAUUSD Margin which has already been used up by the trader to open trades in MetaTrader 5 platform as shown and illustrated on the trading example above.
To Learn More about Leverage & Margin - Study the Learn Topics Described Below:
What is Margin Level in MT5 Discussed