Gold margin is the collateral a broker reserves from account equity while an XAUUSD position is open. It is calculated as the notional contract value divided by the account leverage ratio, so one standard lot of one hundred ounces with gold at two thousand four hundred dollars represents two hundred and forty thousand dollars of notional value and requires two thousand four hundred dollars of margin at one hundred to one leverage.
Margin level, defined as equity divided by used margin, is the number that decides whether positions survive. Brokers issue a margin call at a defined threshold and force-close positions at a stop-out level, typically beginning with the largest losing position, and gold volatility means a thirty dollar adverse move can traverse that distance within a single trading session on an over-leveraged account.
Leverage does not change the risk of a gold trade, which is set entirely by lot size multiplied by the distance to the stop loss. Higher leverage only reduces the collateral held and therefore shortens the distance between an open drawdown and forced liquidation, which is why sizing should always be derived from the stop distance and checked against the margin requirement afterwards.