How can I prevent my open positions from being liquidated?

Asked 4 years ago

Help! I'm on the brink of having my trading liquidated. I'm worried that I will lose all my money. Is it possible to avoid liquidation? If so, what do I do to save my shares?

Liquidation Open trade

Andia Rispah Igobwa

Wednesday, September 22, 2021

There are several proactive strategies you may take to avoid liquidation and manage risk:
Keep an eye on the status of your open trades.
To limit risk on the downside, add a stop-loss order for each open trade. You can establish the stop-loss rate when you execute a trade or add a stop-loss order at any moment for any open position. Stop-loss orders may also be adjusted at any time to take current market conditions into account. Stop-loss orders may not always prevent you from losing money.
Keep a cushion in your account above and beyond your required margin. These excess funds act as a safety net, shielding you from market losses. If you approach your margin restrictions, either reduce the size of your position gradually or add money to your account right away.
Reduce your leverage level. You are free to request a change in leverage at any time.