Jump to content
  • 0

JAMESJAMES50


JAMESJAMES50

Question

WHAT IS YOUR MARGIN REQUIREMENT TRADING FOREX ON THE DAX AND THE DOW? WHAT DOES THIS MEAN?

SO WITH A £5,000 ACCOUNT WHAT WOULD BE THE MAXIMUM STAKE PER PIP FOR THE DAX AND DOW.

HOW MANY PIPS GO TO IG FOR EACH TRADE?

This information will help me to assess my strategy. THANK YOU.         GT.

Link to comment

1 answer to this question

Recommended Posts

  • 0
15 hours ago, JAMESJAMES50 said:

WHAT IS YOUR MARGIN REQUIREMENT TRADING FOREX ON THE DAX AND THE DOW? WHAT DOES THIS MEAN?

SO WITH A £5,000 ACCOUNT WHAT WOULD BE THE MAXIMUM STAKE PER PIP FOR THE DAX AND DOW.

HOW MANY PIPS GO TO IG FOR EACH TRADE?

This information will help me to assess my strategy. THANK YOU.         GT.

Hey, 

For the dax and dow you can find the margin requirement on the deal ticket under get info> Margin requirements: 

 

image.png

 

Something to take into consideration is the contract size. For example the normal contract for the DOW (Wall st) is $10, the mini is $2 and we offer a £1 contract due to people not liking their investment in dollars when they have a sterling account: 

image.png

 

If you are asking the max position you can take out you would use the calculation below (for the sterling £1 contract): (I will be using approximate pricing but please note the price will move) 

£5000 = price x contract size x amount of contracts x margin requirement 

£5000 = 34568 x £1 x amount of contracts x 5%

This gives you 2.89 meaning if you're trading full contracts you would be able to take out 2 contracts on the dow. Your margin required would be £3,456.80. The rest would be on your account for any potential losses. 

If you want a decimal contract you can have 2.8 meaning your margin will be (34568 x 2.8 x £1 x 5%)  £4,839.52. If you put £5,000 on your account this means you will have £60.48 left on your account for losses until you're on a margin call. 

 

If we were to use the wall st ($10) contract it's slightly different. 

You need to take the £5,000 and convert it at the current exchange rate. In interest of this example we will say the rate is 1.41

 

So £5,000 x 1.41 = $7,050. 

You will use the same calculation now as you did before however the contract size is larger so that needs to be factored into the equation

$7,050 = Price x contract size x amount of contracts x 5%

 

$7,050 = 34,568 x $10 x amount of contracts x 5%

Amount of contracts = $7,050 / 34,568 / $10 x 5% = 0.001

This wouldn't be possible as our contract sizes start at 0.2. 

 

I hope this helps if you need me to clarify anything else let me know by quoting my post :) 

All the best 

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • Gold Elliott Wave Analysis Function - Counter-Trend Mode - Corrective Structure - Likely Double Zigzag Position -Wave 4 Direction - Wave 4 is still in play Details - Gold count adjusted to fit the sideways structure emerging for wave 4. The structure still supports further rallies. Gold has remained in a sideways range since the decline on April 12th, 2024. Despite this consolidation, the metal is poised for more gains and potentially a fresh all-time high. Gold is in a long-term bullish trend, with no significant bearish correction expected until the impulse cycle from September 2023 completes.   Daily Chart Analysis: Gold prices have been largely bullish, with a cycle degree impulse wave III emerging from 1810.5 in September 2023. Currently, the price is in a minor degree wave 4, which initially appeared to be a zigzag structure. However, the sustained sideways price action suggests this is a triangle structure for wave 4. Before the eventual breakout to the upside, Gold might make one more leg lower within the range. The goal now is wave 5.   H4 Chart Analysis: The H4 chart shows the sub-waves of the emerging triangle structure, which is currently on the fourth leg - wave d (circled). Wave e (circled) should follow, but it should stay above 2286 to avoid invalidating the triangle structure. Thus, the invalidation level for this setup is 2286. Provided the price remains above that level, the potential for more upside is far greater. Wave 5 should reach at least the 2500 key psychological level.   Summary: Gold has been in a sideways range since the decline on April 12th, 2024, but is expected to make further gains and potentially reach a new all-time high. The long-term trend is bullish, with no significant bearish correction expected until the impulse cycle from September 2023 ends. On the daily chart, Gold is in a cycle degree impulse wave III from 1810.5, with the current minor degree wave 4 forming a triangle structure.   On the H4 chart, wave d (circled) of the triangle is in progress, with wave e (circled) expected next. The triangle structure remains valid as long as the price stays above 2286. If this level holds, the potential for more upside increases, with wave 5 likely to reach at least the 2500 level. Technical Analyst : Sanmi Adeagbo Source : Tradinglounge.com get trial here!  
    • AVY Elliott Wave Analysis Trading Lounge Daily Chart, Avery Dennison Corp., (AVY) Daily Chart AVY Elliott Wave Technical Analysis FUNCTION: Trend MODE: Impulsive STRUCTURE: Motive POSITION: Wave {iii} of 5.   DIRECTION: Upside in wave {iii}. DETAILS: Looking for upside into wave 5, equality of 5 vs. 3 which in this case will stand as invalidation level, as wave 3 is currently shorter than 1, stands at 250$.     AVY Elliott Wave Analysis Trading Lounge 4Hr Chart, Avery Dennison Corp., (AVY) 4Hr Chart AVY Elliott Wave Technical Analysis FUNCTION: Trend MODE: Impulsive STRUCTURE: Motive POSITION: Wave (ii) of {iii}.   DIRECTION: Upside {iii}. DETAILS: Looking for minute wave {iii} to start unfolding, otherwise we could be in either a top in place, or else we could be forming an ending diagonal in wave 5.   Welcome to our latest Elliott Wave analysis for Avery Dennison Corp. (AVY). This analysis provides an in-depth look at AVY's price movements using the Elliott Wave Theory, helping traders identify potential opportunities based on current trends and market structure. We will cover insights from both the daily and 4-hour charts to offer a comprehensive perspective on AVY's market behavior.   * AVY Elliott Wave Technical Analysis – Daily Chart* In our Elliott Wave analysis of Avery Dennison Corp. (AVY), we observe an impulsive trend pattern characterized by a motive structure. AVY is currently positioned in wave {iii} of 5, indicating a continuation higher within this wave sequence. The target level for the upside movement into wave 5 is the equality of wave 5 vs. wave 3, which stands at the $250 level. This target also acts as the invalidation level, as wave 3 is currently shorter than wave 1. Traders should monitor this level closely as it provides a critical threshold for potential wave completion and validation of the current wave structure.   * AVY Elliott Wave Technical Analysis – 4Hr Chart* On the 4-hour chart, AVY continues to follow an impulsive trend mode within a motive structure, specifically in wave (ii) of {iii}. The current analysis suggests an anticipated unfolding of minute wave {iii}, which would indicate further upside potential. However, if this wave does not start unfolding as expected, it could suggest that a top might already be in place, or alternatively, we could be forming an ending diagonal in wave 5.   This potential scenario should be watched for confirmation or invalidation to adapt trading strategies accordingly.   Technical Analyst : Alessio Barretta Source : Tradinglounge.com get trial here!  
    • Asian shares are ending the week lower after recent rallies. Yesterday on Wall Street the Dow made gains while Nvidia and other tech names came under short-term pressure. The dollar continues to strengthen, pushing the Japanese yen close to levels last seen in April, which then provoked a currency intervention. European markets are expected to open flat, while US futures show slight gains. The MSCI Asia-Pacific index fell 0.6%, led by a pullback in technology stocks. Japan's inflation slowed in May, complicating the outlook for interest rate hikes. Currency markets saw the euro, sterling, and Swiss franc fall against the US dollar. Today is dominated by flash PMIs from around the globe, including Germany, the UK and the US. 
×
×
  • Create New...
us