Margin

Margin in Forex trading is a deposit required to open a leveraged position. It's the initial amount a trader needs to invest to control a larger trade size, amplifying potential profits and losses.

Margin matters because it determines the size of your trades and the risk you're taking. For instance, with a 50:1 leverage and a $100 margin, you can control a $5,000 position, but a $10 loss would wipe out your entire margin. Understanding margin is crucial for managing risk and avoiding margin calls, where your broker closes your positions due to insufficient funds.