• FXCM Launches WhatsApp Support

    FXCM now offers WhatsApp support to our clients! Simply add our WhatsApp number to your contacts (+44 7537 432259) or click here and reach out to us from Sunday at 5pm EST to Friday at 5pm EST.

How does Tiered Margin work on an FXCM MT4 account?

MT4 accounts with FXCM will utilize a different version of FXCM’s Tiered Margin because the MT4 platform handles the margin call (liquidation) process differently than FXCM’s Trading Station Platform.

Upon opening a position you will be required to set aside an initial entry margin as well as a maintenance margin. However, due to a platform limitation on MT4 there are no pop up notifications on the platform when your Free Margin is at zero or less.

While the Entry/Maintenance and Liquidation margin levels are the same as Trading Station accounts, clients trading with MT4 should ensure they understand three important figures within the platform:

  • [Equity] is the "floating" value of funds in the account, including profits and losses on open positions.
  • [Margin] is Used Maintenance Margin, this is the amount currently in use to maintain open positions. If the equity falls below 50% of Margin then the position floating the largest loss will be closed, this process is repeated if Equity reaches or remains below 50% of Margin.
  • [Free Margin] is Usable Maintenance Margin. When this value is at zero or less the Margin Warning is triggered and additional positions cannot be opened.