Margin Calls and Stop Outs

Margin Calls:
Margin Calls are alerts for customers to consider closing some or all of their open positions or depositing additional funds to maintain their positions.

• TradingMoon Trader: A Margin Call occurs when your Cash Usage reaches 100% of your Account Value.
• MT4 and cTrader: A Margin Call occurs when your margin level reaches 100%.

At TradingMoon, we aim to prevent customers from risking more than they intended.

Stop Outs:
Stop Out is the event where our system automatically closes your positions to prevent further losses (also known as the liquidation level).

• TradingMoon Trader: Stop Out occurs when your Cash Usage reaches 200% of your Account Value.
• MT4 and cTrader: Stop Out occurs when your margin level reaches 50%.

Understanding Margin Calls and Stop Outs is crucial for effective risk management and ensuring you maintain sufficient funds in your account to avoid unexpected closures of your positions.