futures margin question all, question, detailed, investor

robjames1984

initial price on day1 100
initial margin requirment 5
maint margin 3
sett price day 1 103
sett price day 2 96
sett price day 3 98
what is the ending balance on day 3 of an investor with 10 short positions? assume all margin calls are met.
i always get these wrong so would greatly appreciate a detailed description of the daily balances and end result!

dotamasta

10 per position, 100 for all

scr879

thats correct, but can you pls explain how that works?

Kiakaha

day 1: price moved 100103
sold so made a loss of 3 * 10 = 30
margin balance fell 50  30 = 20
so needs to bring balance back to 50
day 2: 10396
gained 7 * 10 = 70
margin Balance=50+70=120
day 3: 9698
lost 2*10 = 20
margin balance = 12020=100

scr879

awesome. thanks CP