Supreme Trading Conditions

Margin Requirements

In Every Margin Lies an Opportunity to Realize Your Goals

 

Margin is the amount of funds required in order to trade. This amount is dependent on position size, the market price of the currency pair, and the leverage of your account.

For example, if your account balance is $20,000, your leverage is set to 1:1 and you want to initiate a position of 0.1 standard lots (or 10,000 units of currency) at EUR/USD at a market price of 1.20000, then the minimum margin requirement would be $14,500.00.

In the above example, the minimum margin requirement is calculated by converting 10,000 Euros into 14,500 US Dollars. Using the same example, but with a leverage setting of 1:100, the minimum margin requirement would be $145.00.

The formula to calculate the minimum margin requirement is:
Minimum Margin Required = (Position Size multiplied by the Current Price) divided by Leverage.

Example:


Position Size = 1 standard lot of EUR/USD (100,000 units)
EUR/USD = 1.20000
Leverage = 50:1
Minimum Margin Required:
100,000*1.20000/50 = 2,400 USD

Margin Call

 

A margin call is an alert generated by your trading platform when your account value (Equity) is equal to or less than a certain percentage of the minimum margin requirement.

Please note that NBH Markets EU provides a margin call warning set at 100%. Margin calls are triggered when your account equity has dipped below a certain percentage of the required margin to support your open positions. This occurs when your floating losses reduce your account equity to a level that is less than your margin requirement. We advise all clients and traders to strictly adhere to margin requirements when trading. Minimum margin requirement on open positions must be maintained by the customer at all times. Any or all open positions are subject to liquidation by NBH Markets EU should a minimum margin requirement fail to be maintained. Margin requirements may change at any time. NBH Markets EU will do its best to inform the client about any projected changes by email and via the trading platform’s message system at least a week before changes come into effect.

Our platforms issue a margin call at 100% level. This means that a margin call will be triggered when the account value (Equity) is equal to 100% of the required margin to support all the open positions.

If a margin call is set at 100%, it means that the account equity should be equal to the margin used. If this drops, then a message warns the trader that he/she needs to deposit more funds.

Example:


Position Size: 1 lot (100,000 units)
EUR/USD = 1.20
Leverage = 50:1
Margin Required = 2,400
Equity = 3,000 (no margin call)
Equity = 2,400 (MARGIN CALL)

Stop Out Level

 

Stop out is the level at which our trading platform automatically closes one or more open positions to safeguard the client and the company’s interests. This will occur if your account value is equal to or less than a certain percentage of the Minimum Margin Requirement.

If the stop out is set at 70%, then when the account equity reaches 70% of the margin used, all positions will be automatically closed starting with the account with the most losses until either there are enough funds to maintain the remaining positions or there are no open positions left.

For example


Position Size: 1 lot (100,000 units)
EUR/USD = 1.20
Leverage = 50:1
Margin Required = 2,400
Equity = 3,000 (no stop out)
Equity = 2,400 (margin call)
Equity = 1,200 (STOP OUT)

Trading Instruments

All the Major Trading Instruments in One Place

Trade CFDs on over 60 instruments across a wide range of asset classes from a single trading account.

Benefit from fast execution and deep liquidity.

Start Trading
Your capital is at risk*

Forex

Trade CFDs on over 44 FX pairs. Benefit from ultra-tight spreads and lightning-fast order execution »

Precious Metals

Trade CFDs on Spot Metals like Gold and Silver. Unmask new trading opportunities »

Cash Indices

Trade CFDs on popular Cash Indices such as the S&P 500 and diversify your portfolio »

Energies

Trade CFDs on Spot Energies such as Brent oil, WTI and Natural Gas »

Payment footer            Payment footer
* Risk Warning: CFDs are complex instruments that come with a high risk of rapidly losing money due to leverage. 85.19% of retail investors lose money when trading CFDs with this provider. It is desirable that investors who would consider trading, to do so only with money that they can afford to lose. Please note that even knowledgeable and well-experienced investors can experience large potential losses.

The content on this website does not constitute financial or investment advice. Any information herein is of a general nature and does not take into consideration your personal circumstances, investment experience or current financial situation.

This site is run and operated by NBH Markets EU Ltd f.k.a. Fideliscm Cyprus Ltd. (Regulated by CySEC under license number 208/13). NBH Markets EU Ltd, Company registration number: HE 291974 (377, 28th Oktovriou Str., Soboh House, 3rd floor, Neapoli, 3107, Limassol, Cyprus.

NBH Markets EU Ltd offers its services to European residents and residents from: Bangladesh, Belarus, China, Egypt, Hong Kong, Indonesia, Kazakhstan, Lebanon, Malaysia, Mexico , Nigeria, Qatar, Russia, Saint Vincent and the Grenadines, Switzerland, U.A.E., Ukraine , Vanuatu.

©2020 NBH Markets EU Ltd. All Rights Reserved.