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rashirajwal
Nickel Bitcoiner
Nickel Bitcoiner
Posts: 51
Joined: Thu Mar 04, 2021 9:10 am

How does Margin Trading work?

Thu May 20, 2021 12:55 pm

Let's say that you decide to buy 10, 00,000 INR worth of example (BTC-INR position). You have invested 10,000 INR and opted for 100X leverage, the amount would be 10, 00,000 INR. Now imagine that your investment grows by 10%, your profit would be 1, 00,000 INR. So, the total profit would be 1, 10,000 INR. The example may sound pretty great. But keep in mind that margin trading amplifies losses just as it does for profits.

If your 10,000 INR investment decreased by 10% so the loss would get deducted from your invested amount i.e. 1, 000 INR will be deducted and your invested amount would come down to 9, 000 INR, you'd effectively lose 10% on the trade.

ETOR Exchange is the best Margin trading and cryptocurrency exchange platform in India. ETOR exchange also provide Margin Trade Exchange with 100X Leverage, 0% Trading Fee, 0% Holding Charges

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