Kinda hard to explain but say you have no leverage to keep it simple and for example your current balance 80k. You obviously can't open a 1 lot position if it's calculated from your balance because you don't have 100k.
BUT let us say you have 5 large trades running, each with something like a profit of 50k, so you have an equity of 250k + 80k = 330k. so if the free margin is based on your equity then you can open new trades using margin from current floating P/L
So in this instance would you have to close a trade to realise the profits or is the free margin using the floating equity?
sorry if im making no sense
BUT let us say you have 5 large trades running, each with something like a profit of 50k, so you have an equity of 250k + 80k = 330k. so if the free margin is based on your equity then you can open new trades using margin from current floating P/L
So in this instance would you have to close a trade to realise the profits or is the free margin using the floating equity?
sorry if im making no sense