Why Some Futures Positions Survive Beyond 100% Risk (And What It Really Means for You)

 Let’s get this straight — most traders think that when their futures account hits 100% risk, liquidation happens instantly.

Your position should blow up, your broker should panic, and your account should go to zero, right?

But then you see someone else bragging online:

“My position was at 150% risk — still holding strong!”

So what’s going on here?
Did they hack the exchange?
Or is the system not as strict as we’re told?

The truth is far more nuanced — and it reveals how risk control really works behind the scenes in futures companies.

Let’s break it down in plain English.

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🧩 Two Different Risk Levels That Control Your Fate

Here’s what most beginners don’t realize:
There isn’t just one “risk level.”
There are two — and they belong to different entities:

1. Exchange Risk Level → The official threshold where liquidation happens.

2. Company (Broker) Risk Level → The internal limit your brokerage uses for its own safety.

For example:

• The exchange may require a 9% margin (that’s the industry standard).

• But your futures company might set its margin at 14%.

That’s a 5% buffer — and that small difference changes everything.

So when your risk ratio on the trading app shows 150%, you’re only violating the broker’s internal comfort zone, not the exchange’s mandatory liquidation rule.
That’s why your position can “survive” longer than expected.

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⚙️ Why Brokers Don’t Want to Liquidate You

Here’s something few traders understand:
Brokers hate forced liquidation just as much as you do.

Every forced liquidation hurts two things:

1. The client relationship (you lose trust)

2. The broker’s internal performance rating

In fact, if a client’s margin account stays above 100% risk for two consecutive trading days, and the balance is over ¥100,000, the exchange penalizes the broker — sometimes even demoting them.

So brokers often play a delicate balancing act:
They’ll delay liquidation for small accounts, hoping the market recovers.

But make no mistake — that mercy has limits.
Once the exchange’s risk level hits 100%, liquidation is mandatory, no exceptions.

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🧠 What Smart Traders Do Instead

Veteran traders — the ones who last — never rely on luck or broker “mercy.”
They use the broker’s own rules to manage risk preemptively.

Here’s their mindset:

“If my broker would liquidate me at 100%, I’ll liquidate myself at 70%.”

That’s not fear — it’s control.
Top traders treat risk thresholds as guidelines for discipline, not warnings after disaster.

Some even coordinate with the futures company’s risk control team.
If they sense market momentum turning against them, they’ll request liquidation before the system forces it.

That’s the difference between gambling and professional trading.

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🚨 The Hard Truth About Risk in Futures

Here’s what no one on social media will tell you:

• You’re not “safe” at 150%. You’re just on borrowed time.

• Your broker isn’t protecting you. They’re protecting themselves.

• Survival is not victory. Staying alive in a bad position only delays the inevitable.

If you want to trade long-term, understand the rules better than the system does.

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🧭 Quick Recap — The Unspoken Hierarchy of Risk

Risk Level	Controlled By	Meaning
Exchange Risk (9%)	Futures Exchange	Absolute liquidation line. Hit 100% here → forced liquidation.
Broker Risk (14%)	Your Futures Company	Internal buffer zone. May delay liquidation to avoid penalties.
Your Risk (100%+)	You	Manage within safe thresholds. Don’t wait for the broker to act.

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💡 Real-Life Trader Insight

The pros don’t ask:

“How much leverage can I take?”

They ask:

“How much pain can I survive before my account explodes?”

In futures trading, discipline is your only insurance.
Understanding where the system draws its real lines — that’s how you survive long enough to profit.