Required Margin, on the other hand, is the actual dollar amount needed to open a position. It’s derived by multiplying the margin requirement (as a percentage) with the total position size. The amount of a margin loan depends on a successfully…
Foreign Exchange Market: How It Works, History, and Pros and Cons
Brokers may provide capital at a preset ratio, such as putting up $50 for every $1 you put up for trading. This means you may only need to use $10 of your own funds to trade $500 in currency. They display…