[BUG] Max margin showing zero on Oanda about jackrabbitrelay HOT 3 CLOSED

Ahhh, thanks for the clarification. Sorry for placing a ticket. I just noticed it was different. Glad that it is working as intended. :)

Thank you, sir!

from jackrabbitrelay.

The information is correct. Your highlighted account has no remaining margin left to use, so the bot has stopped buying.

The reason for this change is that the margin limit equations were not correct. That was corrected last week. The previous equations did not take into account the net asset value (NAV) of your current positions properly.

Using my own account as an example,

I have a balance of $580 with a margin limit of 73% defined in the configuration, $423 (all values simplified for this example).

My current NAV (The total of the position), is $185.
My current margin used is $258.

The new equations are this,

(580*73%)-(185+258) = -19

Anything below 0, is 0. so the screen reflects that you currently have no safe amount of margin left.

This really means that my position is $19 over my safe limit. This does not represent a margin call, because I am well below that limit, but the bot must try to protect the balance. By OANDA's trading rules, anything over 50% at 3:45pm eastern time US, will enter a margin call for upto 48 hours. if the position in not brought back under the acceptable margin limit of 50%, a margin closeout is issued against the entire account as ALL positions are liquidated at CURRENT MRKET VALUE. Please be aware that each juristiction has its own rules and regulations that are followed and enforced vigorously.

For example, here are the rules and regulations for Europe,

https://www1.oanda.com/resources/legal/europe/legal/margin-rules

If I were to use 100% of the balance, then the equation would look like this,

580-(185+258) = 137

Your second account demonstrates this, with a safe margin left of $64. The change in the reporting was to improve accuracy in a meaningful context. The value is now longer just the margin limit total, but a dynamic representation of your true margin available. Please note that I do not recommend using 100% of your balace, even with the more accurate equations.

OANDA references:

https://www.oanda.com/us-en/trading/calculating-margin/

https://www1.oanda.com/forex-trading/learn/capital-management/leverage#:~:text=Calculating%20Margin-,The%20margin%20needed%20to%20open%20each%20trade%20is%20derived%20from,30%20x%20100%20%3D%203.3%20percent.

Algorithmic trading is different then manual trading, so the equation was based on those differences to provide better account protection. While a margin call is not as likely now, it should not be taken lightly as OANDA will liquidate the ENTIRE account in one single blow and no guarentee can ever be made that the market won't move even more against your position.

Please let me know if this fully addresses your questions ans concerns.

Thank you.

from jackrabbitrelay.

Please feel free to ask any questions or bring a situation to my attention.

Thank you.

from jackrabbitrelay.