Choose the formula
Course context: This lesson belongs to a practical beginner curriculum for Pakistan.
| Symbol rule | Formula before currency conversion | Typical scope |
|---|---|---|
| Dynamic leverage | Lots × contract size ÷ leverage | Major/minor forex and some metals |
| Fixed percentage | Lots × contract size × required margin rate | Crypto, exotics, energies, stocks, indices and specified metals |
| Fully hedged equal volume | 0 margin for matched same-symbol opposite volume | Matched portion only |
| Partially hedged | Formula applies to unmatched volume | Difference between buy and sell volume |
Worked EURUSD example
For 0.10 lot, contract size 100,000 and leverage 1:500: margin = 0.10 × 100,000 ÷ 500 = 20 EUR. The platform then converts that amount into the account currency. At HMR leverage 1:200, the same new order needs 50 EUR—2.5 times as much.
Worked fixed-margin example
For 0.05 lot of a symbol with contract size 100,000 and fixed margin requirement 1%: margin = 0.05 × 100,000 × 0.01 = 50 units of the base/margin currency before conversion. Changing account leverage does not override the symbol’s fixed percentage.
HMR timing checklist
| Trigger | Current general guidance | Action |
|---|---|---|
| High-impact news | For most instruments, up to 15 minutes before and 90 seconds after | Inspect HMR indicator and recalculate new-order margin |
| Weekend/holiday closure | Dynamic leverage can reduce around closure periods | Leave a larger free-margin buffer |
| Account equity tier | Maximum available leverage changes with equity | Recalculate after deposits, withdrawals or P/L changes |
| Stocks earnings | Existing orders may also be recalculated | Check symbol-specific event conditions |
Hedge exit trap
Equal opposite positions on the same symbol can show zero hedged margin. Closing either side makes the remaining position directional and can immediately require full margin. Before unhedging, calculate the remaining volume under the leverage/HMR that will apply; otherwise the close action itself may fail for insufficient free margin.
Official references
Exness margin formulas · Higher Margin Requirements · Leverage and equity tiers · Trading calculator
Questions from a first-time learner
Is margin a broker fee?
No. It is reserved collateral and is released when the order closes, subject to losses.
Does higher leverage reduce market risk?
No. It lowers required margin but the same position retains the same price exposure.
Does unlimited leverage affect fixed-margin symbols?
No. A symbol’s fixed margin percentage remains controlling.
Why can closing one hedge leg require free margin?
The remaining unmatched position becomes directional and needs its normal margin.