The mere fear of default could sink the value of the bonds,
triggering margin calls.
But when Bumi shares dropped in price and
triggered margin calls, the Bakries sold half their shares in Bumi to Samin Tan, an Indonesian coal operator.
Not only does it signal a lack of confidence that the borrowing - to - buy game can continue indefinitely, but significant declines in markets
themselves trigger margin calls that, ultimately, force the sale of the underlying assets.
But such selling pushes prices down and
triggers margin calls.
Many of these losses would
trigger margin calls and investor withdrawals, forcing an investor to liquidate.
So if you took out $ 50k, you would
trigger a margin call, and they would demand money back or start selling your shares to raise revenue.
It all adds up to optimum conditions for short - sellers wishing to
trigger margin calls.
Not exact matches
«However, we expect to enter a bear equity market environment, and the sell - off may be exacerbated by
margin calls being
triggered.»
Stops were filled many points lower than expected, and
margin calls were
triggered before a single 15 minute bar had elapsed.
After the race was
called by the AP, Moore declined to concede defeat, saying he believed that the
margin of victory could narrow enough to
trigger an automatic recount.
This means that if you place a trade with a small amount of available usable
margin under the MT4 account, there is a risk that the execution of the orders could
trigger immediate
margin call right after the execution as the commission charges can result in insufficient
margin to maintain your open positions.
Since that
margin call was likely
triggered by the investment going down in the first place, it forces you to sell low.
At this point, a
margin call is
triggered to the trader by the broker and the trader must provide additional cash or securities worth 1 % of the trade = $ 960 so that the
margin account balance is able to reach back to the minimum
margin requirement.
Margin calls are triggered when your usable margin falls below
Margin calls are
triggered when your usable
margin falls below
margin falls below zero.
Oh, and don't forget to be absolutely sure you understand the
margin rules and how a
margin call is
triggered.
Assuming you bought all 80 lots at the same price, a
Margin Call will
trigger if your trade moves 25 pips against you.
A
margin call is
triggered when the investor's equity as a percentage of total market value of securities falls below a certain percentage requirement, which is
called the maintenance
margin.
Swing trading on
margin can be extra risky in the event a
margin call triggers.
These losses would
trigger immediate
margin calls and liquidations from brokers.
Orders ranging from $ 317.81 to $ 224.48 were used to complete the trade, resulting in a recorded 29.4 % price drop that quickly
triggered a cascade of stop loss orders and
margin calls.
In other words, it's another «flash crash»
triggered by
margin calls of the sort the market saw in August.