Free margin refers to the amount of equity in your trading account that is available for opening new positions. It is calculated by subtracting the margin used for your open trades from your account equity.
The formula for calculating free margin is:
Free Margin = Account Equity − Margin Used
Where:
- Account Equity is the total balance in your trading account, including any unrealized profits or losses from open positions.
- Margin Used is the total amount of margin allocated for your current open trades.
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