When you don't have trades open on your account, your account balance will be equal to equity and equal to margin. However when you open a trade your account balance will be +- floating profi/loss equals to free margin plus used margin. 

Part of our multimedia library, learn in this video tutorial what is a margin call in Forex and how to use proper MM in your trading strategy.

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To start trading you will need capital. You need to know how much to prudently allocate to your real trading account and then strive hard to protect your capital. You must replace your urge for profit with a desire to protect your account from losses. If you would like to know more about Money Management (MM) and how to apply these techniques on your trading strategy, please read our complete article What is Proper Forex Money Management.

Cashback Forex Margin Calculator

 
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Use our Forex margin calculator to know exactly the percentage of funds required to open a trading position based on the available leverage offered by your broker.