Broker choice : leverage/margin required and EA influence

[phil_trade]

Hi all

when choosing a broker, Specially for small account, please pay attention to both Leverage and Margin Required (not well communicate by broker). A recent new customer want to use his ICM account instead of my GPF recommendation. When I prove him, that he could trade half than me, just because of High Margin required, he move to GPF For ICM, special mention for its good spread !

2 live Accounts True ECN, with 1:200 Leverage but for €/$, ICM need 706$ when GPF only 388 !

Pay also attention, that demo account often required less Margin ! ICM Demo 1:200 need only 258$ instead of 706 when Live ! A big problem that explain big difference in result depending broker choice !

Please find Baluda DWMPivot indi. modified to show live spread and live Margin required

DWMPivots.mq4

ICM Margin required.PNG

GBF Margin required.PNG

[skoda2008]

I have a live IC Markets and Global Prime account. In my case no matter which pair I choose the required margin is the same. My accounts are both in AUD. Perhaps IC Markets are taking additional margin to convert your EUR account back to AUD for each trade, where as Global Prime are not?

[phil_trade]

I have a live IC Markets and Global Prime account. In my case no matter which pair I choose the required margin is the same. My accounts are both in AUD. Perhaps IC Markets are taking additional margin to convert your EUR account back to AUD for each trade, where as Global Prime are not?

Thanks Skoda. Did you check your 2 accounts with my modified DWMpivots indi. ?

[Jeuro]

I have a live IC Markets and Global Prime account. In my case no matter which pair I choose the required margin is the same. My accounts are both in AUD. Perhaps IC Markets are taking additional margin to convert your EUR account back to AUD for each trade, where as Global Prime are not?

Yes, that would be correct. Accounts with the same base currency should require the same margin.

Phil probably measuring Accounts with different base currency, and that is a different history. It is not a matter of taking "additional" margin, it is just calculated according to the base currency.

Say a Brokers grants 200/1 leverage, means you can buy 200 times worth of any currency per each 1 deposited... of whatever base account you choose.

It is obvious that we can not buy the same amount of currency with 1000 EUR deposit then 1000 AUD deposit. For example current eur/aud is 1.4422 .. if wanting to buy 13 207 usd (shorting 0.10 eur/usd at 1.3207) the account in euros would show 50 EUR required.... but for the AUD account
will show 72 AUD required.

You purchased 10 000 euros worth of currency. at 200:1 that is 50 eur .. and 50 eur is 72,11 aud at 1.4422



J.

[phil_trade]

I have a live IC Markets and Global Prime account. In my case no matter which pair I choose the required margin is the same. My accounts are both in AUD. Perhaps IC Markets are taking additional margin to convert your EUR account back to AUD for each trade, where as Global Prime are not?

Yes, that would be correct. Accounts with the same base currency should require the same margin.

Phil probably measuring Accounts with different base currency, and that is a different history. It is not a matter of taking "additional" margin, it is just calculated according to the base currency.

Say a Brokers grants 200/1 leverage, means you can buy 200 times worth of any currency per each 1 deposited... of whatever base account you choose.

It is obvious that we can not buy the same amount of currency with 1000 EUR deposit then 1000 AUD deposit. For example current eur/aud is 1.4422 .. if wanting to buy 13 207 usd (shorting 0.10 eur/usd at 1.3207) the account in euros would show 50 EUR required.... but for the AUD account
will show 72 AUD required.

You purchased 10 000 euros worth of currency. at 200:1 that is 50 eur .. and 50 eur is 72,11 aud at 1.4422

J.

Hi

you're right. I supposed MQL MarketInfo(Margin_Required) return always in USD, but not. It return in account currency ! my bad !

so depending EURUSD value, margin required for each pairs will change. Never too old to learn

thks

Philippe