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What's the Deal With Margin

Getting your head around how margin works, and the different subdivisions it has in forex can be an exercise even for those gifted in math.

To complicate matters further, there are a lot of margin calculations which aren’t used in your day-to-day forex trading. And it’s not practical to worry too much about them!

So, let’s figure out what’s need-to-know information about margins, and how to use it to improve your forex trading results.

If you’ve already opened your FX trading account, you know what margin is. But the purpose of this article isn’t to repeat theory, but rather to have a look at the practical concepts that you can incorporate into your daily forex trading.

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Margin Isn’t Just a One-Off Decision

So, when you open your account, you decide on how much leverage you want.

After that, you typically don’t change your margin. This can lead some FX traders to forget...


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