What Is Equity in Forex? Calculation, Impact on Margin, and Capital Management

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  • Math

  • High School

  • 12th grade

  • Calculus and Advanced Math Concepts

  • English

Author's Instructions

Equity in the forex market represents the real-time value of a trader's Account. It is the sum of the account balance and floating profit or loss, and it fluctuates constantly.

A precise understanding of equity in forex is crucial for risk management, calculating free Margin, and avoiding margin calls.

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