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A trader shorts a futures contract at the price of $1.15 per Euro. The size of the contract is 125,000 Euros. The initial margin is
A trader shorts a futures contract at the price of $1.15 per Euro. The size of the contract is 125,000 Euros. The initial margin is $5,000, and the maintenance margin is $4,000. The trade's margin account starts right at the initial margin. One day later, the futures price rises to $ 1.16 per Euro. What can or must the trader do as a consequence of this price movement? The trader must inject $1,250 to his margin account to meet the margin call. The trader must inject $250 to his margin account to meet the margin call. The trader can withdraw $1,250 from his margin account. The trader can withdraw $2,250 from his margin account
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