What is margin?
Margin refers to the amount of funds that traders maintain their positions in the market. Since the trader uses leverage, he is allowed to trade with a larger amount than the amount originally deposited. The margin represents your share of capital, which is reserved and frozen as a deposit to establish a certain position.
For example, if you trade with x100 leverage and you open 0.5 positions instead of 50,000 USD, your reserve margin is 500 USD.
What is leverage?
A fundamental feature that makes CFD products attractive is leverage. Leverage allows you to open larger positions with a small amount of capital. Increase purchasing power.
For example: if you have 1,000 USD in your account, if you use our 1:100 leverage, you can open a position of 100,000 USD (or 1 batch). The actual funds on your account are still $1,000, but your investment has increased by 100 times.
Reminder: We have negative balance protection, which means you will only lose the money in your account, nothing more. We are also equipped with margin notice and stop notice.
FXGT Broker Review: A Leader in High Leverage Forex and Cryptocurrency Trading
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February 17, 2025
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