Forex Zone | Forex Forum

Margin Level is Important

Discussion started on Forex Education

  • Posts: 121
  • Points: 0
  • Likes Received: 38
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx

Margin Level is a function to limit your losses so that they don't get deeper, and this is very important in your risk management control role.
Margin Level can also function properly as you STOP LOSS 2.
The Margin Level Percentage formula can be calculated from "Equity" divided by "Used margin" then multiplied by 100% (Equity / Margin x 100%)
A good level margin provided by a brokerage company is a 100% Level Margin, because there are several brokers that are of the type BANDAR that provide margin levels below 100% or even 0%, so that if you lose your money can be used up soon and into the pocket of the city. We recommend that you avoid the type of dealer broker that provides a margin level below 100% and even 0%.


Example of the Role of Margin Level Protection at 100%
Suppose 1: 400 leverage with a capital of 1000 USD, and you are trading with a volume of 3 regular lots in the EUR / USD currency (when running price is at 1.2), the margin used is around 900, and if hit by a stopout at a margin level of 100% then all your open positions will be closed automatically and the funds will only be around 100 USD, while the remaining 900 USD will be returned to you.
Now compare if with no 100% margin level, if you lose, your capital will run out and become 0 without remainder.
So with the 100% margin level it is also a safeguard or substitute for the second stop loss for protection so that your capital is not exhausted, and also encouraged to always use a suitable and healthy lot volume.
In addition, with the 100% level margin feature you can use it as the application of different trading strategies by utilizing the role of full lot, but not too risky, because there is a margin of protection at this level in order to reduce losses. It's like risking $ 100 but it can generate profits that are many times that.


Linkback: https://www.forex.zone/forex-education/29/margin-level-is-important/1561/
#1 - February 15, 2019, 01:16:33 AM

  • Posts: 232
  • Points: 0
  • Likes Received: 17
  • Reputation: +0/-1
Margin Level is Important in Forex Education_xx
Margin Level is a function to limit your losses so that they don't get deeper, and this is very important in your risk management control role.
Margin Level can also function properly as you STOP LOSS 2.
The Margin Level Percentage formula can be calculated from "Equity" divided by "Used margin" then multiplied by 100% (Equity / Margin x 100%)
A good level margin provided by a brokerage company is a 100% Level Margin, because there are several brokers that are of the type BANDAR that provide margin levels below 100% or even 0%, so that if you lose your money can be used up soon and into the pocket of the city. We recommend that you avoid the type of dealer broker that provides a margin level below 100% and even 0%.


Example of the Role of Margin Level Protection at 100%
Suppose 1: 400 leverage with a capital of 1000 USD, and you are trading with a volume of 3 regular lots in the EUR / USD currency (when running price is at 1.2), the margin used is around 900, and if hit by a stopout at a margin level of 100% then all your open positions will be closed automatically and the funds will only be around 100 USD, while the remaining 900 USD will be returned to you.
Now compare if with no 100% margin level, if you lose, your capital will run out and become 0 without remainder.
So with the 100% margin level it is also a safeguard or substitute for the second stop loss for protection so that your capital is not exhausted, and also encouraged to always use a suitable and healthy lot volume.
In addition, with the 100% level margin feature you can use it as the application of different trading strategies by utilizing the role of full lot, but not too risky, because there is a margin of protection at this level in order to reduce losses. It's like risking $ 100 but it can generate profits that are many times that.
thank you for the advice. can you tell which broker is not a dealer?
#2 - February 15, 2019, 03:29:09 AM

  • Posts: 121
  • Points: 0
  • Likes Received: 38
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
thank you for the advice. can you tell which broker is not a dealer?
You're welcome. Sorry, I don't quite understand what you mean
#3 - February 15, 2019, 04:37:02 AM

  • Posts: 72
  • Points: 0
  • Likes Received: 10
  • Reputation: +1/-0
Margin Level is Important in Forex Education_xx

yes sir in my personal opinion it is very important to make resilience in forex, thank you sir I hope you will benefit



#4 - February 15, 2019, 07:15:02 AM

  • Posts: 15
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level is very important to understand because it helps us to determine entry and exit points and SL.
#5 - July 24, 2019, 01:42:41 AM

  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
we maintain a margin level at a certain level so that the account remains safe.
#6 - July 24, 2019, 02:00:22 AM

  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level is important to keep our account from difficulties or when floating.
#7 - July 24, 2019, 02:58:57 PM

Red Land

Margin Level is Important in Forex Education_xx
margin level is useful for maintaining our account from excessive margins so our account will be safe.
#8 - July 24, 2019, 03:26:45 PM

Saykoji

Margin Level is Important in Forex Education_xx
margin level is indeed to maintain margins so as not to risk using lots.
#9 - July 24, 2019, 03:37:24 PM

  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level is usually used by traders to maintain account security with a percentage of margin.
#10 - July 24, 2019, 04:47:01 PM

dodot iro

Margin Level is Important in Forex Education_xx
in my opinion it is less important because we do not know the benefits of margin level.
#11 - July 24, 2019, 05:41:39 PM

  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level is an important need to calculate the volume of transactions that we will do.
#12 - July 24, 2019, 06:44:11 PM

  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level in my opinion only shows the number before being stopped out or MC.
#13 - July 24, 2019, 06:54:00 PM

  • Posts: 9
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level is a percentage that can be used to maintain the security level of our trading account.
#14 - July 25, 2019, 12:49:41 AM

  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Margin Level is Important in Forex Education_xx
margin level has a function to remind traders if there is an over margin.
#15 - July 25, 2019, 01:57:20 AM

Members:

0 Members and 1 Guest are viewing this topic.


* Share Topic

Share via delicious Share via digg Share via facebook Share via linkedin Share via pinterest Share via reddit Share via stumble Share via tumblr Share via twitter

* Similar Topics

xx
Beginner level

Started by Van99 on General Forex Discussion

31 Replies
569 Views
Last post September 04, 2019, 05:51:37 AM
by aizafx
xx
quasimodo level

Started by Rendy94 on General Forex Discussion

25 Replies
565 Views
Last post October 11, 2019, 01:34:25 AM
by taper
xx
How to determine the right level of risk?

Started by instaforex on General Forex Discussion

68 Replies
666 Views
Last post July 28, 2021, 10:43:14 AM
by Iw4nN
xx
Cryptocurrency Predicted Towards a New Low Level

Started by Vi on General Cryptocurrency Discussion

13 Replies
327 Views
Last post January 07, 2021, 09:34:15 AM
by Gets 99