Margin Balance
The funds that you transfer to your account are your available funds. You can use this fund to trade in your forex account. Initially, your margin balance will be equal to your funds. But when you execute an order, you instantly start observing loss/profit. A loss will reduce your marginal balance while a profit will boost it. The amount shown in your margin balance is real time. When you close your active order, that will be your realised profit/loss. At the end of the working day, the realised profit/loss will be added and/or deducted from your actual funds.
The margin balance, therefore, is the real balance. Whenever you withdraw funds from your account, it's actually from the margin balance. If you do not have enough margin balance you cannot withdraw money from your account and all your active positions will be liquidated.
|