Example 1 — XAU/USD, 0.10 lot at 1:500
- Instrument
- Gold (XAU/USD)
- Price
- $2,400.00
- Lots
- 0.10
- Leverage
- 1:500
- Balance
- $2,000.00
Notional value = $2,400.00 × 100 × 0.10 = $24,000.00. Margin required = $24,000.00 ÷ 500 = $48.00, or 2.40% of a $2,000.00 balance, leaving $1,952.00 free.