Fair Stop Out Proceedure

Spotware
11 Jan 2016, 18:08

Dear Trader,

If the positions have the same margin when the fair stop out is triggered then the most losing trade will close first. 

JTG83
11 Jan 2016, 18:24

RE:

Ok, and is margin utilization based on margin required to open the position, or otherwise (i.e. equity)?

In other words, is fair stop out calculated based on position open price and size?

Spotware said:

Dear Trader,

If the positions have the same margin when the fair stop out is triggered then the most losing trade will close first. 

Spotware
12 Jan 2016, 16:24

Dear Trader,

Once the Margin level is less than the Fair Stop out the fair top-out algorithm will close positions in descending order of margin used until the margin level is greater than fair stop out, so that as each position is closed, traders have a better chance at securing what they can from their remaining deals.

Margin Used = Sum of all open  Positions Margin

Position Margin = (Position Volume/Leverage), denominated to account currency.

Margin Level =  Equity/Margin Used expressed as a percentage.