Difference in cTraders's Margin Calculation between opening several trades separately vs. modyfying volume
Joined 21.11.2020
Difference in cTraders's Margin Calculation between opening several trades separately vs. modyfying volume
16 Nov 2023, 10:29
During back testing I invest i.e. 5 x the same lot size of 1 Lot on the GER40 symbol on a Pepperstone account in 2 different ways:
1. separately via ExecuteMarketOrder(…) == > 5 Trades are open with 5 lots in sum ==> ok
2. via ModifyVolume(…) ==> 1 Trade is open with 5 lots in sum ==> ok
However, on 1. the “Margin Used” is 5x the initial margin of 38,39 € = 191.96 (which I recognize as correct),
while on 2. The “Margin used” is computed via the “little Gaussian” formula y = x * (x+1) /2 giving 5 * 6 /2 * initial margin = 15 * 38,39 = ca. 575.85 (which I recognize as wrong)
Can you please explain this behavior?
Replies
PanagiotisCharalampous
17 Nov 2023, 06:51
Reply to: Difference in cTraders's Margin Calculation between opening several trades separately vs. modyfying volume
Hi all,
Which version do you use?
Best regards,
Panagiotis
@PanagiotisCharalampous
PanagiotisCharalampous
17 Nov 2023, 06:52
Reply to: Difference in cTraders's Margin Calculation between opening several trades separately vs. modyfying volume
Hi all,
Which version do you use?
Best regards,
Panagiotis
@PanagiotisCharalampous
ME-Pepper
17 Nov 2023, 10:50
RE: Reply to: Difference in cTraders's Margin Calculation between opening several trades separately vs. modyfying volume
PanagiotisCharalampous said:
Hi all,
Which version do you use?
Best regards,
Panagiotis
4.8.30
@ME-Pepper
ncel01
16 Nov 2023, 12:19 ( Updated at: 16 Nov 2023, 14:17 )
Wrong margin calculation
Hello,
3 months ago I've reported a similar issue with margin calculation during backtesting:
https://ctrader.com/forum/calgo-support/41606#post-104078
Despite this calculation being very basic and crucial for risk management, I have double-checked this and "surprisingly," the issue persists.
Conclusion: Due to the inconsistencies in cTrader's calculation, I will continue to use my own calculation.
@ncel01