Beginner Q&A · Margin Liquidation and Interest

Forced Liquidation, Stop Out and Overnight Interest Q&A

How does a stop out happen? How much overnight interest will you pay? Why does a stop loss sometimes fail? These questions affect the safety of your account, and each has a short answer and a full article.

What Are Forex Forced Liquidation and the Margin Call Level?

In leveraged forex trading, a trader posts only part of the funds as margin to establish a larger notional position. When the market moves adversely, floating losses reduce account equity. Read the full article →

What Is Overnight Interest?

Overnight interest is a financing charge or interest adjustment that may apply when certain leveraged forex or CFD positions are held past the platform's stated settlement time. Read the full article →

What Are a Futures Delivery Date and Rollover?

Futures contracts generally have a specified expiry month. Read the full article →

How to Read a Price Gap: Why Can a Stop-Loss Fail?

A price gap is a clear break in price between consecutive trading sessions: there are no continuous trades on the chart between the previous session's close and the next session's open. Read the full article →

Why Should You Avoid Simply Riding Out Losses in Margin Trading?

“Riding it out” usually means continuing to hold a position that has moved against you because you do not want to accept the loss, or repeatedly adding to it to lower the average entry price. Read the full article →

What Is Negative Balance Protection?

Negative balance protection generally means that, when specified conditions are met, a client's trading-account balance arising from leveraged products is limited to zero, so the client is not… Read the full article →

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Forex and CFDs are leveraged products and carry a high risk of losing money rapidly. This page is educational and is not investment advice. Only trade with money you can afford to lose.