Free Margin refers to the collateral in a trader’s Margin account that is not currently in use for current open positions. Free Margin is also known as “Usable Margin” because it’s the margin that is free to use.
Free Margin of course is the amount available to open new positions on the Margin Platform, and can also be thought of as the amount that the existing positions can move against you before receiving a Margin Call or Stop Out.
Should the Free Margin reach 0, you would receive a Margin Call.
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