Free margin is the amount of your trade balance that is available for opening new spot positions on margin.

Free margin is calculated as equity minus used margin.

For example,

• With equity of 8,750 USD, and
• used margin of 2,500 USD,
• free margin would be 8,750 - 2,500 = 6,250 USD.

If you try to open a spot position on margin for which you do not have sufficient free margin, the order will be automatically cancelled (with the message "Insufficient initial margin").