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forex converter: Margin Level Calc
forex converter: Margin Level Calc: "margin level is calculated by dividing ( : ) the current equity in an account by the current amount of margin in use /used margin/. After dividing the point of qurrency by the margin move the decimal two places to the right. A broker whose equity is at $2000 and who is using a $500 of margin would divide 2000 by 100 which of course equals 20. Then move the decimal two places to the right; thus current margin level or percentage is 200%. At 100% margin level a broker is essentially using their entire available margin. When this level drops to 50% broker will automatically be closed to help ensure that a broker is not subject to losing more money than is held in their account"