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What is Cross-Margin ?

Cross Margin is a margin trading mode in which the available funds in your margin account are shared across all your open positions. It allows you to use the total account balance and assets to support your trades, providing a higher level of risk management.

In Cross Margin, the profit or loss from one position can be offset by the available margin in your account, which helps in reducing the risk of liquidation. This means that if one position performs well and generates profit, it can compensate for any losses in other positions.

The advantage of Cross Margin is that it allows you to maximize your buying power and potentially take larger positions with the available funds in your account. However, it's important to note that while Cross Margin offers more flexibility and risk management compared to Isolated Margin, it also exposes your entire account balance to the risk of a single position.

It's crucial to carefully manage your risk, set appropriate stop-loss orders, and monitor your positions closely when using Cross Margin to ensure that your account remains adequately collateralized and avoid potential liquidation.