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Dear Sir
Please explain: Initial margins are 1000 per contract. variation margin is 100% of initial margin
As I explain in my free lectures, the margin is the initial deposit you have to pay to the dealer (here 1,000 per contract).
As the futures prices change from day to day, the futures are losing or gaining and you have to increase or decrease your deposit by the amount of the change.
When you finally close out the futures, you get the margin back.
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