Trading FAQs

Have questions about trading in general or changing your trading settings in your ThinkMarkets account? See below for the answers.

 

General
 

Do you offer fixed or variable spreads?

We don’t offer fixed spreads as we never interfere with market forces or client orders. As such, all products tradable on our platforms are variable spreads.

What are swaps, and what is the difference between positive and negative swaps?
A forex contract expires every two days. Instead of actual delivery of the underlying asset, many traders and investors will ‘rollover’ the contract to extend its trading period. It’s upon this ‘rollover’ that swaps are earned or incurred by the holder of a forex contract. The swap rate is calculated as the interest rate difference between the two nations issuing the currency, and are added to, or subtracted, from the profit and loss for the contract.

A positive swap is where you earn interest from the contract, and a negative swap is where you incur interest on the contract.

For a more detailed explanation, including examples, please see our swap rates page

What is leverage and how does it affect my account?
As the name suggests, the term “Leverage” was coined because using leverage allowed you to trade with more than you have. Leverage allows you to do this by reducing the amount of margin required for each position opened. Please have a look at how to calculate margin <page link> to see how increasing leverage can increase the risks and rewards of a trade.

How can I change the leverage on my account?
You can change the leverage settings on your account by logging in to ThinkPortal

What is the maximum leverage allowed on my account?
Leverage increases the risks and rewards of trading. In essence, the  larger your account balance, the larger the risks and rewards become on a trade. For this reason we have maximum leverage levels, which are set to safeguard client assets and ensure liquidity providers aren’t exposed to excessive risk.

The maximum leverage levels for a given account are:
 

Account balance Maximum leverage allowed
$0-$50,000 400:1
$50,000-$200,000 200:1
$200,000-$1,000,000 100:1
$1,000,000+ 50:1
 

What is margin/margin requirement?
Margin is the amount required to open a new forex position. It is not a fee or a charge to your account – it is an amount set aside from your free equity to support your new trade. It is the client’s responsibility to maintain sufficient funds in their respective accounts to avoid triggering a margin call.
 

How do I calculate the required margin?
Margin requirements are calculated as follows:

(100,000 units * Number of standard lots)/Leverage * conversion rate to your base currency

For example, for a USD account with 500:1 leverage, if you place a EUR/USD buy order of 0.1 lots (10,000 EUR) @ 1.3632, the calculation would be as follows:

{(100,000 *1.3632)*(0.1)}/500 = $27.26
100,000EUR * 1.3632 = $136,320 (margin required for a standard lot when leverage is 1:1)
$136,320 * 0.1 = $13,632 (margin required for 0.1 lots when leverage is 1:1)
$13,632/500 = $27.26 (margin required for 0.1 lots when leverage is 500:1)

For more information please see our page on leverage and margin explained.

When will a margin call be triggered?
A margin call is triggered when your account’s equity falls below 50% of the required margin. For more information please see our margin call policy page

 

What is slippage?
Slippage is the difference between the execution price and the requested price of a pending order or trade. It is caused by gapping in the markets (where gapping refers to a situation where there is a break between the tradable prices). Please be advised that slippage is a natural occurrence caused by market forces and is by no means induced by ThinkMarkets. Please refer to our website for more information on our Slippage Policy

Trading Tools and Services

 

What is a VPS?
VPS stands for Virtual Private Server, and is a very useful tool for traders that use robots/algorithms to trade on the market. These robots often run automatically and independently from the trader, thus are able to explore trading opportunities that manual traders may not be able to. A VPS provides you with the ideal trading environment to maximise the power of robots through eliminating down time and benefiting from extra fast execution speed. Visit our VPS forex page for more information.
 

How do I register for a VPS?

Our virtual private server (VPS) allows you to stay connected to your platform wherever you are. To register for a VPS you must first have met the minimum requirements, which is a minimum account funding level of $2,000 for VPS Pro and $5,000 for VPS Pro Plus. Once you have met the requirements, simply send an email to our support team: [email protected] . You’ll receive an email notification once the VPS is ready to go.


How much is a VPS?
ThinkMarkets offers VPS’ to clients free of charge, when they open an account and deposit 2000 units. To keep the VPS service free, you are required to meet the required trading volume and monthly account balances (maintenance balance).
If you do not meet the requirement of free VPS, you will be charged as follows:

VPS Pro           £ 25
VPS Pro Plus   £ 45
 

What is Autochartist & how do I use it?
Autochartist is one of the world’s most advanced tools for the automatic identification of trade opportunities in the form of chart patterns, Fibonacci patterns and key levels. If your account is funded with at least $2,000, you’ll get free access to Autochartist information. Simply log in to ThinkPortal, select trading tools and Autochartist. 
You may install the Autochartist software directly from Autochartist website.

How do I use FX Wire Pro news feed?
We’ve partnered with FX Wire Pro to give you access to in-depth news from a large network of sources. Once you logged to MT4 platform, click on news tab, and select the headline to read the full article. Be advised, demo account users are only able to see the headlines, not the full article.

Support and Education
 

I’m new to ThinkMarkets, where do I start?

Every new trader is different, but we offer a range of education content including FX University, Free Trading Guides and Webinars.
 

I need help – how can I contact you?
You can contact us either by:

  • clicking on ‘Support’ from within the ThinkPortal and viewing full contact information

  • or start a Live Chat with one of our representatives.

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