Calculate the exact margin required to open a forex trade. Enter your currency pair, account currency, trade size (lots), and leverage — the calculator returns your required margin, pip value, and notional trade value so you can size positions confidently before placing a trade.
Required Margin
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Notional Trade Value
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Pip Value
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Margin Percentage
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Trade Size (Units)
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Margin is the amount of money your broker requires you to deposit as collateral to open and maintain a leveraged position. It is not a fee or cost — it is a portion of your account equity set aside to cover potential losses. The required margin is expressed as a percentage of the full notional trade value.
Required margin is calculated using the formula: Required Margin = (Trade Size in Units × Exchange Rate) / Leverage. For example, trading 1 standard lot (100,000 units) of EUR/USD at 1.0850 with 1:30 leverage gives a required margin of approximately $3,617. If your account is not in USD, the result is converted at the current account currency rate.
A pip (point in percentage) is the smallest standard price movement in a currency pair — typically the fourth decimal place (0.0001), except for JPY pairs where it is the second decimal place (0.01). Pip value = (0.0001 / Exchange Rate) × Trade Size in Units, then converted to your account currency. For JPY pairs, use 0.01 instead of 0.0001.
Leverage is the ratio that amplifies your trading power — for example, 1:30 leverage lets you control $30 of market exposure for every $1 of margin. Margin is the actual cash deposit required to open a position at a given leverage level. Higher leverage means lower margin requirements, but also magnifies both profits and losses.
A standard lot equals 100,000 units of the base currency. A mini lot is 10,000 units (0.1 lots) and a micro lot is 1,000 units (0.01 lots). Smaller lot sizes reduce margin requirements and pip values proportionally, making them suitable for traders with smaller account balances.
If your account equity drops below the broker's minimum margin requirement, you will receive a margin call, requiring you to either deposit more funds or close positions. If you fail to act, the broker may automatically close your positions through a stop-out to prevent further losses beyond your deposited capital.
Leverage and margin settings are controlled by your broker. Most brokers allow you to request a leverage change through your client area or by submitting a margin change request form. Regulatory limits apply depending on your jurisdiction — for example, EU/UK retail clients are limited to a maximum of 1:30 on major forex pairs.
This calculator covers the most commonly traded major and cross currency pairs. For exotic pairs or instruments not listed, the calculation logic remains the same — you would need to enter the correct exchange rate and ensure your account-to-base conversion rate is accurate. Always verify margin requirements with your broker before trading.