Commission is applied only on our ECN Account (MT4) and the FXTM ECN MT5 Account.
ECN Account (MT4): Commission is charged at 4 units of the Base currency and the conversion rate to the trading account’s currency (if applicable).
If your account is in USD.
If you trade 1 lot USD/JPY. Commission will be $4.00
If you trade 1 lot EUR/USD. Commission will be 4.00 EUR * (exchange rate) 1.10873 = $4.43
If your account is in EUR:
You trade 1 lot EUR/USD. Commission will be EUR 4.00
If you trade 1 lot USD/JPY. Commission will be $4.00 / (exchange rate) 1.10873 = 3.60 EUR
FXTM ECN MT5: Commission is fixed at $4, which is $2 when you open a position and $2 when you close it.
You can find more information on our Swap & Commissions page.
Equity = Balance + Credit + Profit/loss + Swap + Commission
Margin = Notional value / Leverage
Example: 1 lot EUR/USD at 1:1000 Leverage:
100,000 EUR / 1000 = 100 EUR
For metals = Volume * Contract Size * Open Price / Leverage
Example: 1 lot XAUUSD: 1 * 100 * 1,263.14 / 500 = $252.63
For shares = Volume * Contract Size * Open Price * Margin %
Example: 1 lot AAPL: 1 * 100 * 42.96 * 0.04 = $171.84
Free Margin = Equity – Used Margin
0.25% = 400:1
0.50% = 200:1
1% = 100:1
2% = 50:1
3% = 33:1
5% = 20:1
Please note that the margin requirements for indices and commodities are fixed as per the contract specifications.
Margin Level = Equity/Margin Used x 100
You can also calculate your margin level using our Margin Calculator.
0.0001 or 0.01 x notional value (depends on the currency – 4th decimal for 5 decimal currencies and 2nd for 3 decimal currencies)
Example: 1 lot of EUR/USD
0.0001 x 100,000 (1 lot= 100,000) = 10 USD.
Alternatively, you can find the value of a pip using our Pip Calculator.
Please note that pip value is always denominated in the quote currency. You can find all information on our Contract Specifications page.