Margin Calls: What They Are and How to Avoid Them
Receiving a margin call is something no trader wants to experience. In this video, Mat, one of our trainers at Safety in the Market, explains exactly what a margin call is and what to do if you receive a margin call. He details three options you have if you receive one. He also shares valuable insights from W.D. Gann on managing margin calls wisely.
To minimise the risk of margin calls, we strongly recommend that our students never risk more than 10% of their trading capital on a single trade. Many beginners start with just 2.5%–5% risk while they build their skills and confidence. Your risk level is your decision, but incorporating it into a well-structured trading plan is crucial.
Reduce the Risk of Margin Calls with a Strong Trading Plan
One of the best ways to avoid margin calls is to have a clear trading plan in place. If you don’t have one—or if yours needs refining—our Trading Plan Tune-Up course can help. This short online course, based on the proven principles we teach at Safety in the Market, walks you through:
- The importance of a trading plan and how it helps you stay focused, confident, and profitable.
- Step-by-step guidance on developing an effective trading plan—including access to the exact plan our students use.
- How to calculate and use the Reward to Risk Ratio to determine precise trade entry and exit points.
- How our students aim for—and achieve—10:1 or greater Reward to Risk Ratios while protecting their capital.
As a bonus, you’ll also get an introduction to Price Forecasting—yes, it’s possible!
Get Your Free Trading Plan Tune-Up Course!
Normally priced at $199, we’re offering this course for free for a limited time! Take control of your trading, reduce your risk of margin calls, and trade smarter.
👉 Order your free copy today!