Margins and stock margins may sound similar, but there are fundamental differences between these two concepts. A futures margin is a good faith deposit that sets aside funds already in your account to protect against losses. On the other hand, a stock margin is a loan from your broker against the stock that allows you to buy shares; your broker then charges you interest for this loan. Because you're using your own funds for futures margin, there is no interest charge on futures.

Excess margin in futures refers to the amount of money available in your account that is above the maintenance margin requirements for all open positions. This is important, because not having enough excess margin means you may not have enough money to cover losses if the market moves against your positions and triggers a margin call. NinjaTrader’s platform displays excess margin on the accounts tab of the NinjaTrader Desktop control center, so you can keep a close eye on your margin requirements at all times.

An intraday margin is the minimum balance your account must maintain per contract while in a trade during normal U.S. trading hours. This is one of the key types of margins in futures for day trading. Learn more about how intraday margins work and the effect they can have on your trading activity.

Overnight positions are trades that are not closed prior to the end of the normal U.S. trading session. Holding positions overnight or over the weekend introduces an extra element of risk, since these positions expose you to potential negative price movement during the time the market is closed. This will also have an effect on your margin requirements, as you move from day trading margin to overnight margin, and could create a potential margin call if your account lacks the funds needed for this additional margin. This is why we suggest always being cautious and aware when holding a position overnight.