Cross margin
Cross margin uses your whole balance as margin for every open position, so a winner props up a loser and liquidation is further away, until one bad position drains everything. It turns a position-level line into an account-level one; Module 5 treats it as a sizing choice, and isolated margin is the alternative.
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In the help centreLearn what a perpetual contract is on MochatradeRelated terms
- Isolated marginIsolated margin ties a fixed amount of margin to one position, so that position can only lose what you gave it and the…
- Mark priceThe mark price is the price a venue judges your position by, for unrealised profit and liquidation, built from the…
- Auto-deleveraging (ADL)Auto-deleveraging is the last step when a liquidated position's loss exceeds its margin and the insurance pool: the…
- Liquidation priceThe liquidation price is where the venue closes your leveraged position, computed from entry, leverage and margin…
- Insurance fundAn insurance fund is the pool a venue uses to cover losses when a liquidated position's margin is not enough, so…
- Initial margin vs maintenance marginInitial margin is the deposit to open a position; maintenance margin is the floor your account must stay above to keep…
Educational content only. Not investment advice. Leveraged products magnify losses as well as gains.