A Margin Call occurs when your account's Margin Level falls to the applicable Margin Call threshold.
How is Margin Level calculated?
Margin Level = (Equity ÷ Used Margin) × 100
For most ThinkMarkets CFD accounts:
- Margin Call level: 100%
- Margin Stop Out level: 50%
When your Margin Level reaches the Margin Call level, you may be unable to open positions that would increase your margin requirement.
If Margin Level continues to fall and reaches the Margin Stop Out level, positions may be closed automatically.
Will ThinkMarkets warn me before a Margin Stop Out?
A notification is not guaranteed.
ThinkMarkets may send notifications in some circumstances, but you should not rely on receiving an email, push notification or other warning before your positions are liquidated.
You are responsible for monitoring:
- Equity;
- Used Margin;
- Free Margin; and
- Margin Level.
How can I improve my Margin Level?
Margin Level may improve if you:
- close or reduce open positions;
- reduce the amount of margin being used; or
- add additional funds to the account.
Adding funds increases the capital at risk and does not guarantee that a Margin Stop Out will be avoided.
Are positions closed the same way on every platform?
No.
Automatic liquidation behaviour can differ between ThinkTrader, MT4 and MT5.