Trade with explained margin call & stop out details

Join those who have already recognized the best trading conditions


or try a FREE Demo Account

MARGIN TRADING INVOLVES SIGNIFICANT RISK TO YOUR INVESTED CAPITAL

Margin Call and Stop Out

The biggest appeal of FX transactions is that they can operate hundreds of times as much money as they can by leveraging "leverage" on cash on hand (margin). Therefore, if the market moves in an unintended direction, a large loss will occur.
TTCM will notify you to inform you of the reduction in margin when the margin maintenance loss rate decreases below a certain percentage with the purpose of preventing loss spread of the principal as the loss on valuation of the margin balance expands. This is called "margin call".
In addition, when the amount of loss increases beyond a certain percentage, the target position (position) is automatically reverse traded (settlement). This is called "stop out".

AN EXAMPLE - When a loss occurs when holding a buying position

(*)"Margin maintenance ratio" indicates the ratio of net assets to the margin requirement margin. "Margin maintenance ratio (%)" = "effective margin" ÷ "necessary margin" × 100

Display margin call

When the margin maintenance rate falls below 80% and becomes subject to margin call, the profit and loss display column of MT4's terminal window is displayed in red.

Loss cut rule

When the margin maintenance rate drops to 50% or less, the loss cut (forced settlement) is executed in order from the position with the big evaluation loss among the open positions held by the customer. The margin maintenance rate can be confirmed within the transaction tab of the MT4 terminal window or within the cTrader open position tab.

AN EXAMPLE - Loss cut execution order when there are three unsettled openings

Open position Appointment date Valuation loss Order in which Rosscat is executed
Position A Xx hours xx minutes on Jun 1 -20,000 No. 2
Position B Xx hours xx minutes on Jun 4 -40,000 No. 1
Position C Xx hours xx minutes on Jun 8 -2,000 No. 3

 

* Depending on market conditions, the order of settlement contracts may be changed.

On the order of loss cuts due to lowering of liquidity

Since we enforce all transactions through "Liquidity Providers" (a network of financial institutions such as international investment banks and securities companies, which are commonly known as interbanks and are recognized worldwide) If liquidity declines markedly due to factors such as national holidays, economic trends, trading hours, etc., Rosscat may not be done in order.

OPEN DEMO ACCOUNT OPEN LIVE ACCOUNT

MARGIN TRADING INVOLVES SIGNIFICANT RISK TO YOUR INVESTED CAPITAL

RISK WARNING: Our products are traded on margin and carry a high level of risk, thus it is highly possible to lose all your capital. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Please review our Risk Warning ‘Risk Disclosures for Financial Instruments & Investment Services’.

LICENCES AND AUTHORISATIONS

TTCM Traders Capital Limited (herein "TTCM BM")is a limited liability Company, incorporated in Bermuda under section 14 and 6/132C(1) of the Companies Act 1981 and registered with the Registrar of Companies under Company number 54135, with registered address 5th Floor, Andrew’s Place, 51 Church Street, Hamilton HM 12, Bermuda

The websites www.traders-trust.com are operated by TTCM BM

RESTRICTED REGIONS:The information on this website is not directed on residents of certain jurisdictions/countries including but not limited to Australia, New Zealand, Canada, Iran, Iraq, North Korea, USA, Cuba, Syria, Sudan, Afghanistan, Guyana, Lao People’s Democratic Republic, Uganda and Yemen or to any jurisdiction where such distribution would be contrary to local laws and regulations.

Copyright © TTCM Traders-Trust Capital Market LTD 2009-2019 © All rights reserved
TOP
Trade Responsibly:Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosures for Financial Instruments
+