* Trading is risky. Your capital is at risk.
Margin call and stop out are risk controls designed to help manage your exposure when the market moves against your open trades.
A margin call acts as a warning that your account equity has fallen to a certain level compared with the margin required to keep your trades open.
A stop out happens when your account equity falls below the required stop out level. At this point, the platform may automatically start closing your open trades to help prevent your account from incurring further losses.
Margin call and stop out levels depend on the account type:
| Account | Margin Call | Stop Out |
|---|---|---|
Edge | 80% | 50% |
Micro | 50% | 20% |
Rewards Plus | 50% | 20% |
Rewards | 50% | 20% |
Advantage | 80% | 50% |
Margin call and stop-out levels depend on the account type:
- Advantage (MT4 & MT5): Margin Call 80%, Stop Out 50%
- Rewards Plus (MT4 & MT5): Margin Call 80%, Stop Out 50%
Please note that while hedged positions do not require margin, they can face Stop Out if account equity falls below zero. This can result from rollover costs, fluctuations in exchange rates, or increases in spreads.
In a hedged position, sell trades are closed by the ASK price, and the buy trades are closed by the BID price. Normally, the loss of one position will be offset by the gain of another.
However, when spreads increase, all positions can create losses and can cause a Stop Out as the equity in the account will decrease.
In such cases, the Stop Out will firstly occur on the positions that carry the biggest loss but once these positions are closed, they can unbalance the hedge which can cause all remaining positions to be also stopped out.