Forex Margin Calculator

Know exactly how much of your account a trade locks up before you open it.

Forex margin calculator

Margin is the deposit your broker locks to open a leveraged position. Required margin = (lot size × contract size × price) ÷ leverage, in the base currency, then converted to your account currency.

If your account currency differs from the pair's quote currency, enter the current quote-currency / account-currency rate (e.g. for a JPY pair on a USD account, enter USD/JPY ≈ 150 → 1/150). Defaults assume a USD account. Get rates from live prices.

Leverage and margin explained

1:30 leverage means 3.33% margin: a €100,000 EUR/USD position needs about $3,600 of margin. 1:500 means 0.2%: the same position needs $217. Higher leverage does not increase your profit per pip — it only reduces the deposit required and therefore increases how much of your account a single trade can control. Regulators in the EU, UK and Australia cap retail leverage at 1:30 on majors; offshore brokers offer up to 1:1000.

Margin level and margin calls

Margin level = Equity ÷ Used margin × 100%. Brokers issue a margin call around 100% and start closing positions (stop-out) around 50%. Keep free margin high: professionals rarely use more than 10–20% of their equity as margin at any time, whatever leverage the broker offers. Use the position size calculator to size by risk, not by available margin.

Frequently Asked Questions

What is margin in forex?

The portion of your account the broker sets aside as collateral for a leveraged position. It is not a fee; it is returned when the trade closes.

What leverage should I use?

Leverage itself is not the risk — position size is. Use whatever leverage your broker offers but size every trade with the position size calculator so you risk 1–2%.

What is a margin call?

A warning that equity has fallen close to used margin. If it falls further the broker closes positions automatically (stop-out).