Market sessions
Sydney
Tokyo
London
New York
Market status
Essential

Balance

Balance is your account value excluding open positions - realized profit and loss only, before floating moves are counted.

Quick answer

Balance is your account value from closed trades only. With open positions, equity (balance plus floating profit or loss) is the number that matters.

Definition

Balance is the total value of your trading account from closed trades, deposits and withdrawals, before accounting for open positions. It only changes when positions close. With an open position, equity (balance plus floating profit or loss) is the number that matters, because that is what a margin call and your real account value are based on.

How It Works

  • Changes only on closed trades, deposits and withdrawals
  • Floating profit or loss does not touch it
  • Equity = balance +/- floating P&L

Trading Tips

1

A green balance with a losing open position is still a losing account

2

Check equity, not balance, before adding positions

3

Closed winners and losers move the balance; open ones move only equity

Back to Glossary
Start Trading

Put Your Knowledge Into Practice

Compare regulated brokers and find the best one for your trading style.

Recommended alternative

We review this broker - here's who we recommend instead

We can only take you directly to brokers we're partnered with. This is the closest vetted alternative we've reviewed and can stand behind.

Compare every broker we rate