MessageHello, The idea behind CFD is very similar to futures, forex and other leveraged instruments. Therefore personally I would use futures mode and MarginDeposit = -10 (negative deposit represents percentage).
But you are of course free to use account margin if you like it better. Best regards, Tomasz Janeczko amibroker.com ----- Original Message ----- From: David Smith To: [email protected] Sent: Tuesday, May 01, 2007 2:48 PM Subject: RE: [amibroker] Re: Account Margin Hi Tomasz. I am using the margin setting for CFD trading of stocks on the ASX Australian market which allow 10% margin trading. I did not mean to use it as a deposit function like futures, perhaps I have used the wrong terminology. For CFD's on 10 % margin, I can put up $1000 for a position size of $10,000. I thought that was how I should use the margin setting at 10 %, then all calls to position size have to refer to the cash*leverage. Have I used the margin function incorrectly for this? Cheers, David -----Original Message----- From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf Of Tomasz Janeczko Sent: Tuesday, 1 May 2007 10:34 PM To: [email protected] Subject: Re: [amibroker] Re: Account Margin All these "explanations" below are wrong. When everything fails - read the manual. This "MarginRequirement" setting is the property of the BROKERAGE ACCOUNT - account margin (not position margin). It decides how much borrowed funds can be used. US regulations allow 50% margin ONLY. When account margin is set to 50% it allows position sizes of upto 200% of your cash. It does NOT involve deposits. This is for STOCKS, not for futures. This is completely different from futures-like margins and other leveraged instruments. You should read the manual about futures margins: http://www.amibroker.com/guide/h_futbacktest.html Best regards, Tomasz Janeczko amibroker.com ----- Original Message ----- From: David Smith To: [email protected] Sent: Tuesday, May 01, 2007 1:09 PM Subject: RE: [amibroker] Re: Account Margin Hi Bernard, try the following. As I understand position sizing, when you set position size it is setting the actual postion bought, so a $1000 deposit on 10 % margin will be a position size of $10000. It also depends if you meant actual risk per trade or you meant a deposit of $1000 per trade (this is also called fixed position size). For fixed position size, this is simply as follows ( I like to set everything in my code rather than using the tester). Capital = 10000; // Initial Capital $10,000 Margin = 10; // Margin 10 % CFDs // Position Sizing PercentCapitalpertrade = 10; // ie $1000 out of a $10K account PositionSize = Capital * PercentCapitalPerTrade / Margin; // Initial Trade Parameters SetOption("InitialEquity", Capital ); SetOption("MarginRequirement", Margin); // CFD trading requiring 10 % margin Alternatively you can just set PositionSize =10000; // ie $1000 deposit on 10 % margin For $1000 risk, you need to set the risk according to the stop value. Check the user manual for this full explanation of this. Positionsize = -2*BuyPrice/(StopDelta); Cheers, Dave etc.... -----Original Message----- From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf Of bernardedmond01 Sent: Tuesday, 1 May 2007 11:12 AM To: [email protected] Subject: [amibroker] Re: Account Margin David Further to my earlier post - if I can't use "positionsize = -10", how do I go about saying therefore that I have a starting equity of say, $10,000, with purchasing power of $100,000 (account margin of 10) but I only want to risk $1,000 per trade? Bernard --- In [email protected], "David Smith" <[EMAIL PROTECTED]> wrote: > > Have you overriden the margin settings in your code & set to 100, or perhaps > set PositionSize in code to a fixed value. This would cause this to occur. > > > -----Original Message----- > From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf > Of bernardedmond01 > Sent: Monday, 30 April 2007 9:56 PM > To: [email protected] > Subject: [amibroker] Account Margin > > > > Hi All > Why is that when I change my account margin setting (e.g. from 100 to > 10) it does not change/affect my position size? I have read through the > manual and searched on here for any clues but I can't find what I'm > doing wrong. Any ideas? > Cheers >
