Margin and Leverage
You can use any amount of leverage, ranging from 1:1 to 1:2000 when trading on the forex market through TemplerFX. This provides you with the freedom to choose the trading strategies that suit your deposit size.
The table below shows an example of the margin required for each contract size in the major currency pairs based on spot rates Margin required is subject to change in market rate. In a live account, the margin required for each non-dollar based currency pair will be converted to U.S. Dollars, in real-time, at the prevailing market price for that pair. Once the equity in an account falls below the required margin, then all open trades will be closed at the prevailing market rate.
|NZDUSD||NZD 100||NZD 50|
|Note:* 30% is a Stop Out level (Free Margin<=0). All positions will be closed at reaching this level.|
** Required margin for opening 2 positions in opposite directions= hedged margin х 2.
*** Sample most popular tickers. All FX symbols list is available at: https://templerfx.com/en/trading/trading_terms/spreads_swaps
**** All margins are for 1/1000 leverage and 1 standard lot volume. TemplerFX offers leverage range 1:1 to 1:2000
TemplerFX leverage depends on the type of trading account and the volume of funds it contains. Margin requirements increase when the funds available in a client's account increase. This is due to the increasing costs of hedging open orders. As a result, leverage is changing as well.
Closing a hedging order during the period of increased margin requirements is treated as opening a new transaction. This will result in the withholding of additional margin corresponding to the amount of the closed transaction involved in hedging. The margin is calculated based on the increased margin requirements and is distributed proportionally among the open transactions that involve the hedged financial instrument.
|BALANCE||MAXIMUM AVAILABLE LEVERAGE|
0 - 999
0 – 2999
3000 – 9999
10000 – 19999
20000 - 99999
100000 and more
*Commodities are traded with 1:100 leverage on all account types.
** CFDs are traded with 1:20 leverage on all account types
*** Cryptos are traded with 1:10 leverage on all account types
Please note. Implementation of any change in the value of financial leverage may take some time and require repeated authorization in the terminal and/or reboot to refresh the parameters displayed therein, depending on the value of the leverage.
Value of leverage for transactions opened during the publication of economic news
During the publication of high-level economic news, margin requirements for new transactions are calculated based on a maximum leverage of 1:200. The change in margin requirements can only occur for the positions opened for the instruments affected by the published news. This rule takes effect 15 minutes before the publication of the news and continues to apply 5 minutes after the event.
In cases when these intervals of increased margin requirements for different news releases are less than 15 minutes apart, these periods may be merged into one long period for the instruments involved. The company informs clients about the periods of the increased margin requirements via the inbuilt email service of the MT4 trading platform.
When the specified period has passed, the margin on positions opened during the period is recalculated based on the amount of funds in the account and the selected leverage value.
This rule makes it possible to reduce traders' risks if the market situation develops unpredictably during significant economic events.
Leverage rules FX accounts on weekends and holidays
In accordance with the Client Agreement, margin requirements may change before weekends and holidays. From Friday 19:00 GMT (three hours before the forex market closes) to Sunday 23:00 GMT (two hours after the forex market opens), the margin requirements for new positions to be opened within the aforesaid time period are calculated based on a maximum leverage of 1:200.
Within two hours after market opening (by Sunday 23:00 GMT), the margin on positions opened during the period of increased margin requirements is recalculated based on the amount of funds in the account and the leverage chosen by the client.
This rule was introduced to reduce the potential losses our clients may incur in the event of a price gap at market opening.
This rule also applies on holidays and an update will be published in News prior to the adjustment in leverage.
Rules of leveraged trading on TemplerFX trading accounts:
- A client can change leverage on a trading account himself (in Personal area) not oftener than once in 24 hours.
- In order to ensure security of trading operations executed on a client’s trading account, leverage cannot be changed in case margin level is below 350%.
- When Balance on client's account exceeds the maximum allowed amount for current leverage value, leverage will be changed automatically.
Attention! Each change of leverage value takes some time and requires re-authorization in trading platform or its reload in order to update the parameters dependable on leverage.