Among the thousands of forex brokers available, each handle a Margin Call in different ways. Some brokers consider a Margin Call and Stop Out as just one and the same, meaning they will not send you a warning message, they will only just start closing your trades along with a message notifying you of the action just.
In this lesson, we will go through a real-life trading scenario where you are using a broker that only operates with a Margin Call. Meaning that the broker defines its Margin Call Level at 100% and does not have a separate Stop Out Level.
Here, we will check a real-life trading scenario where the broker operates with a separate Margin Call Level and Stop Out Level. We assume the broker defines the Margin Call Level at 100% and the Stop Out Level at 50%. If that is the case then what happens to your margin account the moment you find you're in a trade that goes terribly wrong？ Let's figure it out!
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