Understanding trading on indices (DOWJ) in trading 212

📬 Stocks & ETFs requests
4

Hi David, thanks for your prompt reply . So I get 1 and 2 and closing of a position.

Jumping back to the margin. On trading 212, the dowj has a margin of .2%, that implies I can trade 500 times more the money I have.

Coming back to figures, the Dow open at £20000
I buy but it drop to £18000, so that a loss of £2k.

In that case opening position, I £40 to buy with a leverage of 1:500 .

  1. From £20k to £18k, my £40 will drop to £36 . Is that correct .

  2. or is it if the dowj drops to £19800 (50% of £40), it will close my position, if margin is 50 percent?

  3. trading 212, do they close a position on 50% or less for the Dowj. Where do I find this info. Second how much the DOWJ need to drop close my position If point 2 is wrong.

Is there a video from trading 212 that explain all of these?

Thanks
Regards
Kevin

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