Please kindly note that the upcoming Japanese General Election on 22nd October 2017 may lead to extreme market volatility, thin market liquidity, abnormal spreads and price gaps in many financial instruments globally. In preparation for this, FxCitizen will be taking the following precautionary actions to protect our clients and Company from the anticipated market turbulence during the elections.
1) MARGIN requirements on all currency pairs containing JPY may increase by 300%, effective from 20th October 2017 server time 18:00 until the volatility of the market is stabilized. This will affect both new and existing positions.
2) Wider SPREAD is expected including fixed spreads which may be allowed to float due to high spread received from our liquidity provider. However, we will make all possible efforts to keep it at a minimum
3) All TAKE PROFIT may be set to default 100 pips from its open price effective from 20th October 2017 until the market resume on 22nd October 2017. Client is free to change it.
4) Price GAP and SLIPPAGE is expected to happens, which means stop loss would possibly occurs at a worse rate than originally set in the order which is quoted as [sl/gap] in your trade comment. For better understanding, please refer to http://www.investopedia.com/terms/s/slippage.asp
5) If the Negative Balance is abused or done on purpose, balance will be transferred from the gaining account to offset the negative balance on the losing account.
6) 2 minutes scalping rule will be enforced strictly during this period
We would like to urge all active clients to fund your accounts ahead of time to maintain margin requirements to prevent stop out of your active trades as increased margin requirement and wider spread will lower down your account margin level and may lead to stop out even though all your trades is fully hedged. Plan and revise your trades carefully especially on slippage. As always, we carry on by our commitments to our clients and assure you that all trading will be in accordance to our Client Agreement.
Please do not hesitate to contact our customer support if any question arises.
NOTE: Please be advised that should market conditions deem it necessary, FxCitizen reserves the right to make additional changes to trading conditions in the days prior to and after the Japanese General Election.