Forex Margin Calculator enables you to calculate exactly how much margin is required in order guarantee a position that you would like to open. This is important as it allows you to determine whether you should reduce the lot size you are trading, or your leverage so as not to over-extend your trading account balance. Simply enter your trade size, leverage, currency pair being traded, account currency and click calculate to determine your required margin.

 

The calculation is performed as follows:

Required Margin = (Trade Size (lot size) / leverage) * account currency exchange rate (if different from the base currency in the pair being traded).

Example:

  • Trading 1 mini-lot of EUR/USD using 100:1 leverage with an account currency denominated in USD
  • 1 mini lot = 10,000
  • Leverage = 100
  • Base currency/Account currency exchange rate = 1.33
  • 10,000/100 = 100
  • 100 * 1.33 = 133
  • Required margin on this trade is $133.
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