What is the maximum deposit load?

 

What is the maximum deposit load?

The deposit load value shows the percent of account funds used to open positions. Load calculation formula:

Max deposit load goes up when a trader risks too much on each trader. For example: if their account value is $1,000 and they decide to open 2.00 lots (over-leveraging), their Max deposit load % will be higher than another trader who's opening 0.10 lots with a similar account value. They'll be out of the market within 50 pips or less against them. It is an excellent way to determine how risky the trader providing signals is. (Link)

Example:

1) If account value is 1,000 USD and trader decide to open 2.00 lots (over-leveraging), trader's Max deposit load % will be higher than another trader who's opening 0.10 lots with a similar account value. Within 50 pips or less against them they'll be out of the market. It is a good way to determine how risky the trader who's providing signals is. (Link)

2) Your signal provider account has (1366 USD and 1:200); He opened a deal for 1.0 lot; It took him 100,000 / 200 = 500 USD; Its load on the deposit is 500 / 1366 * 100 = 36%,

your account has (2200 USD and 1:500), It took you 100,000 / 500 = 200 USD; The load on the deposit will be 200 / 2200 * 100 = 9%, this is less risky for you.

But if the situation has change, and the deal has become unprofitable, and the loss reach to -300 USD on the signal provider account,

For your account it will be -300 * (500/200) = - 750 USD. This is really bad. (Link)

The maximum deposit load
The maximum deposit load
  • 2017.02.28
  • www.mql5.com
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