How do I calculate required margin for FX trades?

A
Written by Afterprime
Updated 10 months ago

Margin Required = Volume in Lots x Contract Size / Leverage Contract size for all FX: 100,000. Margin is calculated in base/front currency. Example (EUR Account): 1 lot AUDJPY with leverage 1:100. 

  • 1 Lot x AUD100,000 / 100 (leverage 1:100 or multiply by 0.01) = 1,000 AUD required margin
  • We need to convert AUD$1000 to EUR by dividing by the EURAUD rate, which is 1.59106 for example:1,000 ÷ 1.59106 = 628.51 Required Margin in EUR.

https://www.afterprime.com/pip-calculator/

Did this answer your question?