When your account has no free margin, you can't open new trades because there aren't enough available funds. If you continue to experience losses, it will automatically close your open positions to prevent further losses. This situation puts your existing trades at risk.
Why did I get a margin call when my trading account appears to be above the margin call threshold?
A margin call can occur even when your account seems above the threshold, especially during extremely volatile market conditions. If you have open positions, your equity may drop quickly, potentially triggering a margin call. Even if the market bounces back shortly after, your account might still experience a margin call event.
It's crucial to consistently monitor your trading account's margin level while holding open positions and take proactive steps to protect your account from entering a margin stop-out.