What's Margin Level in MT4?
Examples of what is margin on the MetaTrader 4 platform software & What is Stock Margin, What's Required Stock Margin, What is Indices Equity, What's Used Stock Margin and What's Free margin.
Index Margin, Required Stock Margin, Equity, Used Stock Index Margin & Free Stock Margin
What's Required Stock Index Margin? : Required Stock Margin is the sum of money your broker requires from you to open a trade. It's denoted in %.
What is Indices Equity? : Stock Indices Equity is the total sum of capital you've got on your account.
What is Used Stock Index Margin? : Used Stock Margin is the amount of money in your trading account which has already been used when buying and opening a contract, this contract is the one that is shown and displayed in open trade position transactions. You can not 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 terms, because your online broker has opened up a trade for you using the capital you've borrowed, you as a stock indices trader must sustain this used trade margin as a security to allow you as a Stock Index trader to continue using trading leverage the broker has assigned you.
What is Index Free Margin? : Index Free Margin is the amount on your trading account which you as a Stock Index trader can use to open new trades. Stock Index Free Margin is amount of money in your trading account which hasn't yet been leveraged because you haven't yet opened a trade with this money - this Free Margin also is very crucial for you as the trader because it facilitates you as a indices trader to continue holding your open stock trade transactions as will be explained below.
Explanation of What's Margin on MT4 Software/Platform
The margin exemplification in MetaTrader 4 below, the set stock leverage is 100:1, the margin which is 1% is $2683.07 - therefore 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 set at 100:1, the trader is using 1 percent% of their trading capital, this 1 percent% is $2683.07 dollars - if 1 percent% is $2683.07 dollars then 100% is $268,307
What's Margin Level Meaning in MT4? - Stock MT4 Margin Calculation
Free Margin - $13,433.48 dollars
Free Stock Margin that can be used by a trader to open new stock trades in MetaTrader 4 as displayed on the trading above example.
Used Stock Index Margin - $2683.07
Stock Margin that has already been used up by the trader to open stock trade transactions on the MetaTrader 4 platform software as is displayed and illustrated on the trading above example.
To Learn and Know More about Stock Leverage & Stock Margin - How to Read the Learn Indices Courses Below:
What is Stock Margin Level on MetaTrader 4 Discussed
Study More Lessons and Tutorials & Topics:
- Index Margin Calculator App
- The Best Index Trade Apps for Index Trade
- How to Install MetaTrader 4 Index Platform/Software Platform
- The Most Active Indices Market Session Overlaps & The Three Major Indices Sessions
- How to Add Fractals Indicator in Index Chart on MetaTrader 4 Software
- Developing Stock Indices System: Indicator Stock Indices System
- Index Charts Analysis of Stock Index Patterns Guide
