Margin requirements and Calculation

Margin is a performance bond, or good faith deposit, to ensure against trading losses and is the deposit required to open or maintain a position. The margin requirement allows you to hold a position much larger than your actual account v...

Example of a Forex Trading and calculation

For example, the current bid-ask price for EUR/USD is 1.5775/1.5781 meaning you can buy 1 Euro for 1.5781 dollars. Suppose you see the trend of Euro growing against dollar and feel Euro is undervalued. To execute this strategy you would ...