Why was my position closed automatically (Stop Out)?

At LBX, if your account equity falls to 30% of your used margin, a Stop Out will occur. This means your open positions may be automatically closed by the system to protect your account from going into negative balance.

This typically happens when the market moves against your position and there is not enough margin left to maintain your trades.

What is a stop out?

A Stop Out is an automatic risk-control mechanism triggered when your equity falls to 30% of your used margin.
 The system will begin closing your positions — starting with the one with the largest loss — to protect your account.

Example of stop out:

Let’s say you have an open position with $1,000 in margin and your equity falls to $300 (30% of your used margin). If the market continues to move against your position and your equity drops further, the system will begin closing positions to prevent further losses.

For example:

• You have $1,000 in used margin.
  
  

• Your equity drops to $300, which is 30% of your used margin.
  
  

• The system automatically closes your positions to protect your funds.
  

Important: Bonus funds and stop out

Please keep in mind that bonus funds are not included in the equity calculation for Stop Out.
 The bonus is intended for margin purposes only and is not tradable as equity. As a result, it does not contribute to the available funds used to prevent Stop Out.

Only your real funds are considered in the Stop Out calculation.

If you have any questions or need assistance, please reach out:
 ? support@lbx.com
 ? Or submit a ticket via our Help Desk Portal

We’re here to assist you whenever you need it.