Calculate the Maximum Loss Percentage before a Margin Call for 10x Leverage

For 10x leverage, the initial margin is 1/10 or 10% of the position value. Assuming the maintenance margin is slightly lower than the initial margin, for simplicity, let's use a 5% maintenance margin.

A loss of 5% of the position value would trigger a margin call, as this loss consumes half of the initial 10% margin, bringing the equity down to the 5% maintenance level. In general, a small percentage drop is all it takes.