Calculate how much margin (free capital) you need in your account to open a position at a given leverage level.
Margin is the amount of money your broker requires you to have in your account to open and maintain a leveraged position. It is not a cost — it is a deposit that is returned to your account when the position is closed. The margin requirement depends on your leverage and the size of your position.
The margin formula is:
For example, 1 standard lot of EUR/USD at 1.0850 with 1:100 leverage: Margin = (1 × 100,000 × 1.0850) / 100 = $1,085. With 1:500 leverage, the same position requires only $217.
| Leverage | Margin for 1 Lot EUR/USD |
|---|---|
| 1:50 | $2170.00 |
| 1:100 | $1085.00 |
| 1:200 | $542.50 |
| 1:300 | $361.67 |
| 1:500 | $217.00 |
Margin values are approximate. Actual margin requirements may vary based on your broker's specifications and account type. Higher leverage increases both potential profits and losses.