How do you prevent Margin call?

[imbest]

Hedging is a option where you put two trades in opposite direction to get a clear trend.Also when trend is clear the loosing trade is closed and winning trade continues but Still you need to put Stop Loss to those trades as market can take a U turn and then both trades will be loosing trades and in this case you loose big amount of money.

This is the reason why I feel hedging is not good for newbies because they might end up loosing both the trades. It is better for those who can manage their hedged trades properly and lock the profit of winning trade.

[BojanHajdinjak]

Hedgig or stop have the same effect or almost the same. With stop you have more room for another poisitions
on accounts because with hedge you can easely have too many open orders and platform wont allow you to open
another position. But technicly it is the same. Hedge have more psyhological value. Some traders or investors feels better
if there are no in loss closing trades. But you can protect position also with trade with another pair.

[realfun07]

For long term trades, I learned that people doesn't put stop loss. If the market goes against the trade, I believe hedging is the only option to protect our account, is this true?

Hedging is a option where you put two trades in opposite direction to get a clear trend.Also when trend is clear the loosing trade is closed and winning trade continues but Still you need to put Stop Loss to those trades as market can take a U turn and then both trades will be loosing trades and in this case you loose big amount of money.

[BojanHajdinjak]

Hi everyone

Many people often face problems red pips which will ends and it leads to a margin call (MC).

So what will you do to prevent the MC?

1. Close and Cut loss the floating position
2. Do Deposit to increase the margin

1. to trade with enough small lotsizes, there os enough room on account for the worst case scenario.
2. do deposit to encrease the margin call if it would be necessary.

[anubhavsingh]

Yes, you are correct. we should have to cut loss by using stop loss or trailing stop. I think there is always danger in using hedging. So, be careful with that. And better to wait for the profit unless you not use stop loss.

stop loss or trailing loss ki bahut importance hoti hai forex trading me
kayi traders isko avoid karte hai..lekin ajsie jasie experaince badta jata hai traders ko iski importance kapata chal jata hai
stop loss bahut hi important tool hai forex traduing ka

[diesel1984]

Practice a sound risk management and money, to make sure that you do not overtrade and put your money into an unacceptable level of risk.
In forex, not only we learn how we can profit, but also no less important is to manage risk...
In trading in forex is not always we can directly profit..You could have (more often) that you will have floating positions first, you'll be in a position minus the first, multiply the margin and more for profit..
.

[anubhavsingh]

Yes, you are correct. we should have to cut loss by using stop loss or trailing stop. I think there is always danger in using hedging. So, be careful with that. And better to wait for the profit unless you not use stop loss.

stop loss bahut hi easy way hai margin call se bachne ka
stop loss means aap apne acount ke hisab se apna loss decide kar rahe haui.aisa kaerne se aapak account kabhi bhi margin call tak nahi aayega kyunki aapne khud hi apna loss deciode kiya hoga

[venkiaries61]

I think you need to prevent MC against MM and wise discipline in putting up a LOT. if you would happen should your MC 2-way locking with hedging. or immediately cutloss delay when reversing the trend seen..

Yes, you are correct. we should have to cut loss by using stop loss or trailing stop. I think there is always danger in using hedging. So, be careful with that. And better to wait for the profit unless you not use stop loss.

[stefanusnicolas]

I think you need to prevent MC against MM and wise discipline in putting up a LOT. if you would happen should your MC 2-way locking with hedging. or immediately cutloss delay when reversing the trend seen..

[anubhavsingh]

To prevent margin call one needs to do proper risk management and money management and use your leverage cautiously and effectively.You should put Stop loss to all your trades and also at times put Take Profit price to their trades as well.Also they need to control their emotions while trading.

ye baat har tarder ko seekhni hahaiye bhai
margin call se prevention kel iye money management ki bahut zarurt hoti hai...har tarder ko apne account balance ke hisab se hi tarde karna chhaiey aur agar usko margin call lagti hai to iska matlab usne thik sem oney management nahi seekha