Margin calculator
Margin is the deposit your broker holds while a position is open. Enter the pair, lot size and leverage to see the required margin and how much of your balance stays free.
Results
- Margin required
- 1,100 USD
- Margin required %
- 11%
These tools are for education only. Check your broker's contract specifications — pip sizes, lot sizes and margin rules vary.
What is margin in forex trading?
Margin is the portion of your balance the broker sets aside as collateral while a leveraged position is open. It is not a fee — it is returned when you close the trade — but it cannot be used for other positions. Required margin is the full notional value of the trade divided by your leverage, converted to your account currency.
Leverage and margin are two views of the same thing: 1:100 leverage means a 1% margin requirement, 1:30 means 3.33%, and 1:500 means 0.2%. The higher the leverage, the less margin each position locks up, but the smaller the price move needed to trigger a margin call or stop-out. This calculator shows the margin before you click buy.
How to use the margin calculator
Choose the pair and account currency
The notional value is calculated in the quote currency and converted into your account currency.
Enter the lot size
Standard lots of 100,000 units; 0.10 for mini and 0.01 for micro. Gold uses 100 ounces per lot, silver 5,000.
Set your leverage
Use the leverage your broker gives you on that instrument — regulated EU and UK brokers cap majors at 1:30, while offshore accounts often offer 1:500 or more.
Add the current price
Margin depends on the notional value, so the current price matters. Add the cross rate if your account currency is not part of the pair.
Read the required margin
Compare it with your balance. Keep plenty of free margin so ordinary volatility cannot force your positions to close.
Margin formula
Notional value = Contract size × Lots × Price
Required margin = Notional value ÷ Leverage × (Quote → Account currency rate)Example: 1 standard lot of EURUSD at 1.1000 on a USD account with 1:100 leverage. Notional = 100,000 × 1 × 1.1000 = $110,000; margin = 110,000 ÷ 100 = $1,100. At 1:30 the same trade needs $3,667, and at 1:500 only $220.
Margin management tips
- Margin level = Equity ÷ Used margin × 100%. Most brokers issue a margin call around 100% and stop out at 50% or lower — know your broker's numbers.
- High leverage does not change the value of a pip; it only lowers the deposit required. Size positions by risk, not by how much margin is available.
- Leave at least half your equity as free margin so a normal adverse move or a widened weekend spread cannot liquidate you.
- Check the instrument-specific leverage: gold, indices, exotics and crypto CFDs usually have much lower leverage than major pairs.
Margin calculator FAQ
How much margin do I need for 1 lot EURUSD at 1:100?
About $1,100 when EURUSD trades at 1.1000: the notional value of 100,000 euros is $110,000, and 1:100 leverage means 1% of that is held as margin.
What is the difference between margin and leverage?
They describe the same requirement from two sides. Leverage of 1:50 means you control 50 units for every unit deposited, which equals a 2% margin requirement. Margin percentage = 100 ÷ leverage.
What is free margin?
Free margin is equity minus used margin — the part of your account that can absorb losses or open new trades. Equity includes floating profit and loss, so free margin falls as an open trade goes against you.
What happens at a margin call?
When your margin level falls to the broker's margin-call threshold you are warned to deposit funds or close trades. If it keeps falling to the stop-out level, the broker closes positions automatically, starting with the largest loser.
Does leverage increase risk?
Leverage itself does not change how much a pip is worth, but it lets you open positions far larger than your balance would otherwise allow. The risk comes from oversized positions, which is why position sizing matters more than the leverage figure.
Why is my broker's margin different from the calculator?
Brokers may use a different contract size, apply tiered margin for large positions, raise requirements before weekends and news, or convert at their own rate. Treat the calculator as a close estimate and check the contract specification.