5/11/12

Sections of the account

Sections of the account

When you decide to trade international currencies market will look for a brokerage firm that allows trading currencies on a margin and we'll talk about the most important things that you should ask them before you open an account with a brokerage firm.

When you choose one of them .. You will need to correspondent several times to fill the registration form and select the type of account you want to open it whether it was a regular account Standard account or a mini account Mini account, and after you finish the registration procedure is in any case very simplified you will be sent the company an email mail telling you consent for your registration and you become one of its customers.

Some brokerage firms have become newly gathered two types of accounts in one account, the account is sometimes called the Comprehensive Universal account where you can buy a lot of small or normal from the same account as you can combine themFor example, you can buy 2.3 lot and this means you buy a lot of ordinary 2 and 3 mini lots in one transactionIn companies that separate the two types of accounts between the regular and mini you can not do that in the overall calculation, it is possibleThis became kind of popular accounts of what has recently granted to the shops of the high flexibilityMany brokerage firms, which we mentioned in the page titles available sources of this type of account which type is best in our opinionHaving identified the type of account and your application is accepted then the company will ask you to send the amount you want to open your account by.

To transport you choose to start at $ 2000 USD ..

Now that you opened the account and the balance amount will be sent = $ 2000.

Valrshehad: Is the amount in your account before entering into any process before you open the package.

But when you open a deal to buy or sell a currency your account will be divided into four sections:

BalanceBalance.

Margin usedUsed margin.

Margin availableUsable margin.

Your current balanceEquity.

We will explain this in detail ForumsBalanceBalance:

Is the amount in your account before you open the package.

Margin usedUsed margin:

Is the amount that is recovered as a token of his opponent and this amount depends on the quality of the account and the conditions of the company you are dealing with in terms of the percentage multiplier offered by this company.

For example:If we assume that you opened the account normal standard with a brokerage firm as though this company deducted $ 500 from your account for each lot you buy or sell any currency, it means that if I bought a lot of euros will be deducted $ 500 from your account as a token of refundable if we assume that your account before entering into This transaction was $ 2000 $ 1500 you will remain, even if you sell 2 lots yen will be deducted from your $ 1000 and $ 1000 left for you of your balance.

As you know, the amount recovered will be returned to your account immediately after closing of the transaction and regardless of the outcome of the transaction.

Margin is calculated according to the user the following equation:

Margin used= Margin determined by the company for each lot number Lot *Margin Usable margin:

Which is the amount remaining in your account after the deduction of margin used, a maximum amount you can lose in the transaction.

The margin is calculated according to the user the following equation:

Margin available= Equity - Margin user

For the former hypothesis as when you buy 1 lot EUR will be charged $ 500 margin user and be available margin in front of youMargin = 2000 - 500 = $ 1500

The maximum amount you can afford to lose in this deal, reached your loss on this deal for $ 1500 you will receive a margin call Margin call and if you did not add more money to your account will be closed before the operation of the company without waiting for you to be.

Current BalanceEquity:

Which is the actual amount in your account if you close the deal at the current rate.

You know when you buy or sell a currency will be influenced by the movement of the price of this currency in the market, you are a buyer of the coin Sémk to increase the exchange rate all point up the price of the currency win $ 10 and all the points go down when the price of the currency price is losing $ 10, and vice versa for sale.

Equity and the current balance is made in front of you what happens to the deal depending on the current price of the currency.

For example:If we assume that you bought 1 lot GBP assuming that the price will rise after a pound, even if we assume that the price of the pound has risen 20 points, you'll see that the actual balance has increased $ 200 on your account before entering into any transaction if you close the deal at the moment will be the balance 2200 $

Thus, the current balance reflects the status of your account on the basis of the current market price to be fully aware of everything related to your account.

The current balance can be calculated according to the following equation:

Current balance = current balance + floating profit or loss on floating

If we assume that the balance prior to entering into a deal was $ 5000 =

Then you purchase a lot of currency and the price of the currency so that you are winning by the current price $ 500, a floating profit because you did not actually close the deal.

The current balance will be = 5000 + 500 = $ 5,500

Which tells you if you close the deal now and at the current balance would be $ 5500

Even if we assume that the price of the currency after you bought has been reduced so that you are the loser as the current price is $ 300 floating loss because you did not actually close the deal.

The current balance will be = 5000 + (-300) = $ 4,700

Which tells you to close the deal now Oukmt At the current price would be $ 4700 balance

The current balance is changing depending on the price of the currency change, whether profit or loss.

The more the price changes even if a single point will show you how the current balance Equity in your account will be effective if you close the deal at the moment, taking as a floating profit or loss and two floating Satholan to profit or loss for real if you actually close the deal at the moment.

The purpose of this division is for your account to give you a clear picture of an instant, on the status of your account to save you do the calculations yourself and be the first instant is the first and depending on the price changes in the market.

And when you close the deal actually turns the current balance to balance the company. Where you can drag it or use it in other trade deals.

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