Back To What Is by Futurestradingpedia.com


What Is Margin Call?



Margin call is a notification from your futures broker to top up cash to your margin account when your futures position has taken enough losses to bring below its maintenance margin level.

Failing to meet the demands of margin call would result in your futures position being forcefully liquidated (sold) by your broker. After such a liquidation, you will still be liable for any negative amount owing to the broker if you took enough losses to wipe out your margin account and more.

Read the full tutorial on Margin Call.