Stop out / Margin Call Levels
Stop Out Level
The Stop Out level is the margin level at which open positions are automatically closed by the platform due to a lack of free margin.
The Stop Out level on our trading platform is set to 50%.
Margin Call level
The Margin Call level is the minimum margin required to open a new position.
When this level is reached a notification appears on the screen to warn the Trader that the margin level is getting near the Stop Out level.
The Margin Call level on our platform is 100%.
When your margin level is between 100% and 50% you can only close your open positions and you cannot open new positions.
Where margin level can viewed
The margin level is shown at the top menu bar in the last section to the right
The percentage value is the result of the following formula: (Equity/Margin)*100
Why Margin Call and Stop Out are important
Both Margin Call and Stop Out may sound like a sort of constraint or limitation. When the Stop Out is triggered, for example, one or more positions are automatically closed.
However both Margin Call and Stop Out are essential tools helping the Trader to avoid excessive losses: they prevent the account going into negative equity territory.
Having set these two parameters at higher levels compared to most brokers proves that Key to Trading is dedicated to protect the clients and to provide the safest possible trading environment.
Key to Trading does not offer any financial advice, asset management or portfolio management service. None of our employees will ever solicits any client or prospective clients to make any particular investment. If you receive phone calls or emails from someone using our company’s name soliciting investments and/or promising certain profits then please let us know immediately.
NEVER REVEAL THE PASSWORD OF YOUR ACCOUNT AND NEVER SEND MONEY TO ANY THIRD PARTY.