A margin account, unlike a cash account, allows you to buy more than your capital using leverage. For example, if you have a 2 times leverage (or 50%), and your account size is 10,000$, you can actually buy up to 20,000$. This is great, but you need to understand how margin works. As a matter of fact, if you do not use proper position sizing and risk management measures, you can lose everything, and more!
Unfortunately, some of the trading platforms use a lot of technical terms that make things even harder to understand. Hence, I have created a guide showing how the margin account works with the Thinkorswim platform. You can download it for free by clicking the button below. In order to open the file, you need to use the password that you receive in the welcome email when you subscribe.
If you like it, and you want to support me you can do it in the contact page. And of course, if you have any question please let me know with a comment below.
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