Trade Gold Trading

How Do I Calculate Margin in Gold Trading

Gold trading uses a margin based on a percentage. For 100:1 leverage, the margin is 1%. For 50:1 leverage, it is 2%. For 10:1 leverage, it reaches 10%.

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

A 1:100 gold leverage lets traders borrow $100 from the broker for every $1 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:

So, how much of the trader's account is their own $1 compared to the $50 that they 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

A 1:10 gold leverage option signifies a trader's capacity to borrow ten US dollars from their brokerage for every single dollar held 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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