Trade Gold Trading

How Do I Calculate Margin in Gold Trading

Gold trading margin is calculated based on a percentage. Percent ratio can be 1% gold margin for 100:1 gold trading leverage or 2% gold margin for 50:1 gold trading leverage or 10% gold trading margin for 10:1 leverage.

For 1% gold margin for 100:1 gold trading leverage it means

1:100 gold leverage option means a trader can borrow $100 dollars from their broker for each $1 dollar in their account:

Hence, what's the percentage of the $1 dollar in a trader's account compared to the $100 dollars borrowed from their broker? it is 1 %

1/100*100 = 1% Gold Margin

For 2% gold trading margin for 50:1 gold leverage it means

1:50 gold leverage option means a trader can borrow $50 dollars from their broker for each $1 dollar in their account:

Hence, what's the percentage of the $1 dollar in a trader's account compared to the $50 dollars borrowed from their broker? it is 2 %

1/50*100 = 2% Gold Margin

For 10% gold trading margin for 10:1 gold trading leverage it means

1:10 gold leverage option means a trader can borrow $10 dollars from their broker for each $1 dollar in their account:

Hence, what's the percentage of the $1 dollar in a trader's account compared to the $10 dollars borrowed from their online broker? it's 10%

1/10*100 = 10% Gold Margin

To Read More about Leverage and Margin - Read the Lessons Below:

Leverage & Margin Course

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Forex Traders Seminar

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