Hi there,
Firstly, clients need to have enough funds (cash balance) on the account before any positions could be opened. The equity is the difference between the funds and P/L. If the equity is lower than the margin requirement, the available funds will be below zero and the account would be on margin call. In this situation, clients won't be able to withdraw funds and the positions become at risk of being closed. Funds do not change by opening new positions. Before any positions being closed, the funds would be the same amount as well until any profit or loss are realised. In short, funds