Margin Call and Equity Stop Orders

Brief

This article describes Margin Call and Equity Stop orders.

Details

Margin Call and Equity Stop Orders

Margin Call and Equity Stop orders are created automatically by the trading system upon a particular event and are used for liquidation of all open positions in the account. The Margin Call order is created once the usable margin of the account falls to "0". The Equity Stop order is created once the maximum amount of the account's losses for the current trading day is reached.

Margin Call and Equity Stop orders are always executed in full amount. The number of Margin Call and Equity Stop orders equals the number of open positions on the account. One Margin Call or Equity Stop order can result in a number of positions closed at different prices.