Margin Knowledge for Forex and Indices Trading

Hello Honey-Readers,

very important is the Margin and Leverage Knowledge. You can Trade Currencys with 1.000 is the same 0.01 Lot, so is small Trading Amount, but for Indices you need in the most times way more Money, so you have for example 12.000 in the German30 Indice.

1 Point is 1 Euro, so you must have 12.000 Euro without Leverage and with an Leverage from x4 you need 3.000 Equity (3.000 own Capital): 3.000 x 4 = 12.000

This is way more higher than in Currency Trading: For one Currency Position with 1.000, because 1.000 : 4 = 250 Equity (own Capital).

New Information will be coming out on this Blog, for your Information. But what you like to do with this Information is alone and allways your own Decision.

So take care of your Money and use never to High-Leverages.

Kind regards and a good time wish you
Marco by tradingchannelblog

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Margin Information

Hello Honey-Readers,

the Topicfield “Margin” is very Important for your Successfull-Trading. You decide how you like do Trading or you don´t Trade, but when you like Trading, than the Topicfield “Margin” is really Important, for your Own-Trading-Success.

The Important Standard Steps should be:

1. Find out how High exactly your (Standard) Leverage is by your Broker.
2. Set up your Individual-Leverage, when this is possible by your own choice Broker.
3. Never use a High-Leverage for Safe-, Hedge- and Longtime-Successfull-Trading.
4. Set up your own choice Leverage, for example 4 and do your Trades.

When your Broker have a Standard-Leverage for example by 400 than you must set up your Margin very small. For example you like Trading with 4-Leverage and have pay into your Broker Account an Amount over 1.000, than you can Trade with 4.000:

1.000 Amount who you have payed in (your own Money) x 4-Leverage = 4.000 that you can Invest in Positions, for example in Currency-Positions.

4.000 : 400-Standard-Leverage = 10,00 Margin for all Open-Positions in your Account.
4.000 : 4-Standard-Leverage = 1.000 Margin for all Open-Positions in your Account.

Margin_Equity_Credit_Leverage

Also when you like Hedge-Trading, this is Important, use also this Amount. Remember: Not only per Position, this means the Amount of your whole Broker Account. You Trading allways on your own Decision. This is a Blog only for your Information. Also the Videos. The next Time am will show you New-Videos, also about the Margin Topicfield. So take care, because Trading is a Risk-Business, espacially with to high Leverages.

New Information will be coming out on this Blog, for your Information. But what you like to do with this Information is alone and allways your own Decision.

So take care of your Money and use never to High-Leverages.

Kind regards and a good time wish you
Marco by tradingchannelblog