The process of calculating your Liquidation Price varies based on the type of contract you hold. Below are all of the relevant equations for each type of possible contract.
Please note that your Initial Margin will vary depending on whether you use Cross Margin or Isolated Margin. Cross Margin applies the entirety of your available funds, whereas Isolated Margin must be calculated by dividing the Open Value by the Leverage used.
Cross Margin: Initial Margin = Total Margin
Isolated Margin: Initial Margin = Open Value/Leverage
Inverse Contract Long
Liquidation Value = Open Value – Maintenance Margin + Initial Margin
Liquidation Value = Open Value – Open Value x Maintenance Margin + (Open Value/Leverage)
Liquidation Price = (Contract Quantity x Contract Size)/Liquidation value
Inverse Contract Short
Liquidation Value = Open Value + Maintenance Margin – Initial Margin
Liquidation Value = Open Value + Open Value x Maintenance Margin – (Open Value/Leverage)
Liquidation Price = (Contract Quantity x Contract Size)/Liquidation value
Linear Contract Long
Liquidation Value = Open Value + Maintenance Margin – Initial Margin
Liquidation Value = Open Value + Open Value x Maintenance Margin – (Open Value/Leverage)
Liquidation Price = Liquidation Value/(Contract Quantity x Contract Size)
Linear Contract Short
Liquidation Value = Open Value – Maintenance Margin + Initial Margin
Liquidation Value = Open Value – Open Value x Maintenance Margin + (Open Value/Leverage)
Liquidation Price = Liquidation Value/(Contract Quantity x Contract Size)
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