Leverage and derivatives
Margin and Leverage Calculator
Understand how position exposure relates to the collateral set aside for the trade without confusing margin with maximum possible loss.
An adverse move of roughly 10,0% can consume the position margin; liquidation mechanics are tied to this threshold.
How the calculator works
required margin = position notional ÷ leverage
Required margin relates position notional to selected leverage. Venue rules, maintenance margin, cross or isolated mode and adverse price movement affect the actual risk.
Fees, funding, spread, slippage, contract specifications and venue rules can change the realised result. Recheck those details before placing an order.
Inputs to check before calculating
Inputs
- Position quantity and instrument price.
- Selected leverage.
- Contract multiplier and settlement currency.
- Venue margin mode and maintenance requirements.
- Enter values from the instrument and account you are evaluating.
- Run the calculation and check its units and assumptions.
- Compare the estimate with the venue contract, fees and risk rules.
Result: A planning estimate based only on the entered assumptions, not a trade recommendation.
Frequently asked questions
Is required margin the same as the amount I can lose?
No. Loss depends on price movement, position size, liquidation rules, fees and risk controls; it can differ from the initial margin.
Does the calculator place or recommend a trade?
No. It performs a planning calculation from the values you enter. It does not connect to an account, execute an order or provide personalised advice.
Calculator results are estimates for planning and education. Verify contract specifications, fees and rules with your broker or exchange.
Updated: · Midas Team
