⚔️ Cross Margin vs Isolated Margin – What’s Best for You?

🧠 Quick Definitions:

🔗 Cross Margin:
All your margin balance is shared across all open positions.
If one trade goes bad, it can affect your entire account. 🛡️ Isolated Margin:
Each position has its own margin.
A loss in one trade won’t touch your other funds.

🔍 Key Differences:

Feature

Cross Margin

Isolated Margin

Risk Level

Higher (shared risk)

Lower (individual risk)

Flexibility

High (auto-balances margin)

Manual (you manage each margin)

Liquidation Impact

Affects entire account

Only affects isolated trade

Best For

Experienced traders, hedging

Beginners, specific trade setups

Margin Efficiency

Better use of funds

Lower, but safer

✅ When to Use Cross Margin:

You’re confident in your overall portfolio You want to hedge positions You’re actively managing multiple trades

✅ When to Use Isolated Margin:

You want lower risk exposure You’re testing a new strategy You want to protect your capital trade-by-trade

🧠 Pro Tip:

Start with Isolated Margin while learning.
Switch to Cross Margin only when you’re comfortable with leverage, stop-losses, and liquidation mechanics.

🎯 Final Take:

There’s no one-size-fits-all — it’s about your risk appetite and trading style.
But if you want to protect your account from a single bad trade, Isolated is your best friend.