Well, the CCP has a track record of detaining and abducting business executives who fail to toe the party line. The platform is owned by Chinese company ByteDance, and ultimately, t he ruling Chinese Communist Party (CCP) has total control over it, just as they have over all social media companies, public and private. TikTok is beholden to China’s authoritarian government. Regular readers will recall how we recently addressed the human rights concerns with TikTok, which has some 100 million US users. It was a much-anticipated moment of drama in an ongoing, bipartisan political effort to ban the video-driven social media app in the US over security concerns. Some brokers may limit you to close only, some brokers may issue a fee, or like my broker, they will just auto-close your position and charge you a fee for breaking their rules as well.Yesterday, the CEO of TikTok, Shou Zi Chew, spent five hours defending his Chinese company before a US congressional hearing. ![]() ![]() Maybe some brokers will allow you to drop below these thresholds without auto-liquidating you, and if this happens, you will be margin called until you can deposit enough money to settle your account back up to margin requirement. Overnight margin will liquidate (close your position) you at closing futures bell if you are below the limit. Intraday margin usually allows up to like 20% lost past your margin requirement before they will liquidate (close your position) you. Intraday margin is the amount required in your account to be able to daytrade a future contract, which means you need to close your position out before futures close for the 1hr that they are closed each day, or on the weekend. Overnight margin is the amount required in your account to be able to hold a contract of that future overnight (the 1hr futures are closed, or the weekends). Lots of times, intraday margin will be less than overnight margin. There is a difference between intraday margin and overnight margin. My example above isn’t a real life example and I’m not planning on opening an account with $1,000 and trading ES contracts, I just wanted to use a simple example to understand how margin worked. Of course if you want to trade again you’d have to deposit $250, but my question is can you wait until you’re ready to trade again to deposit that $250 or must you deposit it right away after the loss? Again this is just for a day trade, not concerning initial margins or overnight maintenance etc.Įdit: thank you for all the replies. If you place a trade on one ES contract and get stopped out at minus 5 points which is minus $250, does the broker margin call you right away to deposit back $250 to make the account whole again, or can you simply take the $250 loss? ![]() You deposit $1,000 and begin (Let’s not count commission for this example). Let’s say the minimum day trade margin for a broker is $1,000. Let me illustrate a very simple scenario. I’ve watched several educational videos on futures trading and would like to start small in the next few months, mostly as a potential side source of income (if successful…that’s a big if lol).Īnyways, I’m confused about an aspect of margin.
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