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REDDIT

Can a thin market estimate blow up your margin account?

B
Aug 29, 2026 · 01:59

Just a mental exercise here - I don't use margin for options aside from the requirement of a margin account to trade at Level 2.

Sometimes in the thin markets where I participate, the Market Makers are not very active, and I'll see ridiculous asks. My account summary dutifully displays these as negatives against my underlying and I laugh it off until expiration.

But maybe it's not a laughing matter to someone on the fringes? I'm thinking an account owner may have very little recourse against a brokerage issuing a margin call, to say: "That is NOT fair!"