Can a Trader Switch between Isolated and Cross Margin Mid-Trade?
Yes, most exchanges allow a trader to switch between isolated and cross margin mid-trade, provided the account has sufficient equity to meet the margin requirements of the new setting. Switching from cross to isolated requires ensuring the position has enough isolated margin to avoid immediate liquidation.
Glossar
Cross to Isolated
Transition ⎊ The transition from cross margin to isolated margin involves re-designating collateral for a specific position.
Margin Requirements
Collateral ⎊ Margin requirements represent the equity a trader must deposit with a broker or exchange as a good faith measure, securing potential losses arising from leveraged positions within cryptocurrency, options, and derivative markets.