How are the Margin Requirements calculated?

How are the Margin Requirements calculated?

• You would need to apply a straightforward equation in order to compute the margin required to open a trade.
• The Contract Size, Lots, Price, and Leverage of your Live Account would need to be gathered from MetaTrader.
• By selecting the Specification tab on the particular Pair or Instrument on MetaTrader, you may find your Contract Size.

• The price can be found on the MetaTrader chart for the particular pair or instrument.

• The lot size refers to the volume you are choosing to trade with.

Here is how the equation will be calculated:

Margin Required = (Contract Size x Lot Size x Price) / Leverage

Please keep in mind that the result of this formula will always be given in terms of Quote Currency, you will then need to convert this to your account's set currency.

For example, if you work out the margin required to open a EURJPY trade, you will need to convert the result from JPY to your account's set currency.