The formula for calculating the margin of precious metals is: margin = lot size * market price * contract volume / leverage.
Take gold as an example. Assume that the market price of gold is: $1,806.00, the contract volume is 100 ounces, and the leverage is 500 times, then the margin for one lot of XAUUSD is $361.2:
- Calculation formula: lot size (1) * market price (1,806) * contract volume (100) / leverage (500) = 361.2