A Margin Call is our alert to you to deposit more funds, or to (partially) close your positions if you so choose, when the market is against your favour.
Margin call will kick in when
An email will be sent to you once this level is reached, you have up to 2 business days to bring your account back to IM levels.
When Margin % falls further to 50% or below, all positions will be liquidated immediately and automatically as a form of risk-management. An email will be sent to you when this occurs.
Customer X has an account of USD5000. He opens a long position of 100,000 EUR/USD at 1.4000. EUR/USD has a margin requirement of 2%.
When price goes against his favour to 1.3780 (loss of 220 pips),
The first email will be sent to inform Customer X about his margin level.
If the price of EUR/USD goes against him further, this time to 1.3640 (loss of 360 pips),
Customer X will have his positions auto-liquidated the moment 50% or below is breached.
This trigger may happen during intra-day trading prior to EOD margin call.