Glossary

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Margin Call
This is a situation where the broker asks the trader to deposit additional funds into their account to keep open unprofitable positions. This alert appears when you only have 30% (80%, 50%) of the required collateral - margin (see) in your account. For different types of accounts there are different percentages, it is necessary to look into the conditions of your trading account If you do not make money on the account, the broker will be forced to close your deal, by making a Stop-out (see). To find out more about margin trading, read chapters 13 and 14 of the book “Secrets of stock trading” by Vladimir Tvardovsky and Sergei Parshikov.

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Citadel of Trading