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FAQs

Can I lose more than I have in my account?

If you are categorized by us a Retail Client,  your maximum losses and liability from trading CFDs will not exceed the total balance of your account. This is referred to as Negative-Balance-Protection and aims to safeguard Retail Clients in highly-volatile markets, where extreme market conditions may cause large and sudden losses. Please note that you are still responsible, … Continued

What is the difference between Margin, Free Margin and Margin Level?

Margin (M) represents the amount of money that you need in order to enter a trade. Margin Level (ML) shows the ratio between your account’s Equity and Margin. ML = E/M *100 Free Margin (FM) tells you how much funds you have left to open new trades. FM = Margin – Equity As a simple rule, if Equity = Margin, … Continued

What is the difference between Balance and Equity?

Balance shows the funds in your account, including the profit and loss from closed trades. Equity is a dynamic value and takes into consideration the profit and loss from open trades at the time. Equity = Balance +/- Profit/Loss from currently open trades.

How do I calculate profit and loss?

While there are various online calculators which can help you calculate Profit, Loss and Pip Value, we feel it is useful and important to understand how that actually work. Let’s take the following trade as an example: You think that the euro will raise in value against the US dollar and decide to buy 100,000 … Continued