What Is Margin Level in Forex? Definition, Calculation & Management Guide

Margin trading is especially common in the forex market. Because of the high entry threshold, most brokers offer clients leverage, which allows them to trade forex with a relatively small initial investment. However, this approach involves additional costs, such as swaps, and significant risks, including potential losses if traders fail to manage risk properly.In this article, we look at the main risks associated with margin trading. We also explain how borrowed funds work, how margin works in p