Margin Calculator

This handy margin calculator instantly figures maintenance requirements for any stock price / balance. Use the buttons or arrows to enter your balance, change the number of shares, or the price of the stock you are testing.


 
 

 

1) Press the first button on the calculator and enter your account balance in the text box that appears. Press the button again or press enter.
2) Use the second and third buttons to enter the total number of shares, and the stock price.
3) You can also press the up/down arrows to make changes.

 

Uses for the Margin Calculator

The margin calculator can be a usefull reference tool for intermediate to advanced retail traders. Remember to adjust for the cost of the trade when entering your cash balance on margin calls. Once you've become familiar with the margin calculator, you'll be able to find uses for it unique to you. These are some of the uses I've found for it:

Margin Call

If you have a margin call and want to keep the bulk of your position: You can quickly figure the exact number of shares needed to sell with this margin calculator. The first line in the “Output” section on the calculator will either say “Balance Surplus” or “Balance Deficit”. A balance deficit would be the amount of the margin call. The next line “Maintance”: This would be the required maintance for that amount of shares, at that price, at the margin rate set. The margin rate is set at 30% by default, but can be changed by pressing the arrows. The next line “Maximum Shares”, is the total number of shares possible, at that balance and price. And the last line in the output section will either say “Shares Under”, or “Shares Over”. “Shares Over”, is the number of shares over the required maintance. That's also the minimum number of shares needed to sell to clear a margin call. “Shares Under”, would be the number of shares under the “Maximum Shares”, or the number of shares you could buy before getting a margin call.

Swing Traders

Swing traders can use the margin calculator to test different re-entry points on scalp trades, when the object is to increase position size on re-entry. Enter your cash balance, total shares and stock price after you've exited your position. When your ready to re-enter your trade, use the arrows on the calculator to adjust the total shares and stock price, to help determine the best position size on re-entry.

Position Traders

Position traders can use this margin calculator about the same way as swing traders. Enter your cash balance, total shares and stock price. Use the arrows on the calculator to adjust the total shares and stock price, to help determine the best position size on re-entry.

Day Traders

Day traders can use this margin calculator to calculate the total possible shares on a day trade. For this one, change the “Margin Rate” to 100%. Enter your day trade buying power into the balance input. It now shows the maximum number of shares at that stock price. Use the arrows on the calculator adjust the stocks price.


 
 
 
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