What are the margin call levels on XM MT4 and MT5?
Margin calls are set up to remind traders to deal with capital losses in a timely manner, but do not automatically close open positions in order to give traders time and opportunity to adjust their positions.
XM sets the margin call level at 50%.When an investor's account equity falls below 50% of the necessary margin to maintain open positions, a margin call is triggered.
The purpose of the margin call is to alert traders to address potential losses promptly, but it does not automatically close open positions, allowing traders time and opportunity to adjust their positions.
In addition, XM has established a margin closeout level at 20% of the necessary margin to maintain open positions based on the account equity. The margin closeout mechanism will automatically close all open positions to prevent further losses to the account.
These adjustments are designed to protect traders from adverse effects of extreme market volatility, especially when the account may experience negative balances. Therefore, XM emphasizes its Negative Balance Protection (NBP) policy, ensuring that traders' losses do not exceed their total initial deposits.
For more detailed information on margin calls and forced liquidation conditions, please visit XM's official website or contact their customer service team for support and assistance.
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