The MetaTrader 5 Trade terminal brings open positions and key account figures into one view. Reading it correctly helps you understand what has already been recorded, what is still changing with the market, and how much capacity remains for open trades. These figures do not predict results. They describe the account at a particular moment, and losses can increase quickly when market prices move against open positions.
Finding the Trade terminal
In MT5, the Toolbox usually appears near the bottom of the platform. Select the Trade tab to see open positions, pending orders and the account summary. If the Toolbox is hidden, it can be opened from the View menu.
Each open position normally shows information such as the instrument, trade direction, volume, opening price, stop loss, take profit, present price and floating profit or loss. A pending order may appear in the same area, but it is not yet an open position. It becomes a position only if its activation conditions are met.
The account summary contains related figures, but they answer different questions:
- Balance shows the account value after completed transactions have been recorded. An open trade's floating result is not included in balance.
- Equity is balance adjusted by the combined floating profit or loss of open positions. Depending on the account, other adjustments may also apply.
- Margin is the amount allocated to support open positions. It is not a trading fee and does not represent the maximum possible loss.
- Free margin is the amount remaining after used margin is deducted from equity. It indicates the account capacity available to absorb losses or support additional positions.
- Margin level compares equity with used margin as a percentage.
How the figures connect
The central relationship is simple: equity equals balance plus floating profit or loss. If open positions have a combined loss, equity sits below balance. If they have a combined profit, equity sits above balance. Once all positions are closed and their results are recorded, equity and balance will normally meet again, subject to any other account adjustments.
Free margin is commonly calculated as equity minus margin. Margin level is commonly calculated as equity divided by margin, multiplied by 100. When no margin is being used, MT5 may leave the margin level blank or display it differently because division by zero is not possible.
Worked hypothetical account example
Imagine a $1,000 account with one open position. Assume the position has a floating loss of $100 and requires $200 of margin.
- Balance remains $1,000 because the position is still open.
- Equity is $1,000 minus $100, which equals $900.
- Free margin is $900 minus $200, which equals $700.
- Margin level is $900 divided by $200, multiplied by 100, which equals 450 percent.
If the floating loss grows, equity, free margin and margin level fall. Balance does not change until the position is closed. If the trader closes the position at the hypothetical $100 loss, the balance becomes $900. With no other open positions, used margin returns to zero and equity normally matches the new balance.
Reading open positions without confusion
Start with the floating result, but do not inspect it alone. Check the position volume, entry price, present price and any protective orders. A small price movement can have very different financial effects depending on position size and contract specifications.
Also distinguish a stop loss or take profit setting from a completed exit. These levels are instructions, not confirmed results. Market gaps, fast movement and limited liquidity can cause execution at a different price. The terminal shows what happened only after execution is recorded.
Margin figures require similar care. High free margin does not mean a trade is safe. It only describes remaining account capacity under the displayed conditions. Opening more positions uses additional margin and may increase total market exposure. Some positions can also move together, causing several losses at once.
Using the History tab
The History tab records completed account activity. It can include closed trades, deposits, withdrawals, commissions, financing charges and other balance operations. The exact columns and labels can vary by account configuration.
Set the date range before reviewing performance. A narrow range can omit older entries and create an incomplete picture. For each closed trade, compare the opening and closing details, volume, recorded profit or loss, commission and financing charges. The visible trade result may not equal the full economic result if related costs appear in separate columns.
MT5 may distinguish between orders, deals and positions. An order is an instruction. A deal is an executed transaction. A position is the resulting market exposure. One position can involve several deals, especially when entries or exits are split. This distinction explains why the history can contain more rows than the number of trading ideas.
Common terminal reading mistakes
- Treating balance as the account's live value while positions remain open.
- Confusing free margin with cash that cannot be lost.
- Assuming used margin is the maximum risk on a position.
- Reading a pending order as though it were already active.
- Ignoring commissions or financing charges in the History tab.
- Reviewing history without checking the selected date range.
- Adding trade rows without accounting for partial entries and exits.
- Opening another position because free margin looks large, without checking total exposure.
A practical terminal check
- Confirm which rows are open positions and which are pending orders.
- Compare balance with equity to identify the combined floating result.
- Check used margin, free margin and margin level before changing exposure.
- Verify stop loss and take profit instructions for each position.
- Open History, select the intended date range and review deals, costs and balance operations.
- Record the figures in a trading journal so account changes can be traced later.
Educational content only, not investment advice. Leveraged trading can lose more than you expect.