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Lin's Take
I built this tool for my own trading desk before sharing it here. Use it almost every session.
✅ Low margin usage — room for additional positions
Keep margin usage below 50% to avoid margin calls during volatile markets.
Guide
Hand-picked by Lin — from my trading desk to yours.
One of the brokers I personally use. Consistent spreads and reliable withdrawals.
I built this for my own trading desk before sharing it here. Use it almost every session.
This broker has earned a spot on my list after months of live testing.
A tool I use daily for position sizing. Know your risk before you enter.
Margin = lots × 100 oz × gold price ÷ leverage
| Gold price | Lots | Leverage | Margin used |
|---|---|---|---|
| $4,000 | 1.00 | 1:100 | $4,000 |
| $4,000 | 0.10 | 1:100 | $400 |
| $4,000 | 0.01 | 1:100 | $40 |
| $4,000 | 0.10 | 1:500 | $80 |
Margin is only the money set aside to open the trade. What you can lose depends on lots and the stop: higher leverage lets you open more, but every $1 move is still $100 per lot.
Margin level = equity ÷ used margin × 100%. Most brokers send a margin call below 100% and close positions somewhere between 20% and 50% (check your broker). Keep free margin so a normal pullback doesn't close you out.
I built this tool for my own trading desk before sharing it here. Use it almost every session.
Margin is the collateral required to open and maintain a leveraged position in XAUUSD. For example, with 1:500 leverage and gold at $4,100, a 1-lot position requires only $820 margin instead of $410,000. Margin allows traders to control large positions with a fraction of the capital.
Margin is calculated as: (Current Gold Price × Contract Size × Lots) ÷ Leverage. For XAUUSD at $4,100 with 1 standard lot (100 oz) and 1:500 leverage: ($4,100 × 100 × 1) ÷ 500 = $820 margin required.
Most brokers issue a margin call when your margin level drops below 100%. Margin call levels vary by broker — typically 50-100%. Above 80% means high risk of margin call during adverse moves.
Higher leverage reduces the margin required per lot. At 1:100 leverage, 1 standard XAUUSD lot needs $4,100 margin. At 1:500, only $820. While high leverage lowers margin, it amplifies both profits and losses proportionally.
Margin = lots × 100 oz × price ÷ leverage. At a gold price of $4,100, 0.1 lot needs $82 at 1:500 or $410 at 1:100.
A margin call is a warning that your equity has fallen close to the margin used. If it keeps falling to the broker's stop-out level, positions are closed automatically, starting with the largest loss.
No. Each pip is worth $10 per lot whatever the leverage. Higher leverage only lowers the margin locked up, which makes it easier to open positions that are too large.
A tool I use daily for position sizing. Know your risk before you enter.
Position Sizing04 / 14
See exactly how much margin you need for any gold position size and leverage.
Quick answer
Margin = lots × 100 oz × gold price ÷ leverage. Higher leverage lowers the margin you lock up, not the money you risk per pip.
Example: 1 lot at $4,100 with 1:500 leverage = 100 × 4,100 ÷ 500 = $820; 0.1 lot needs $82.