Brokers and The Brexit

A comprehensive list of ‎brokers that have updated their trading requirements. More ‎‎‎will be added as news comes in.

Ahead of the upcoming UK referendum on EU membership scheduled for Thursday,  the ‎majority of brokerage firms are raising their margin requirements, mostly on GBP, ‎EUR and UK indices, amid fears that the Brexit vote on European Union ‎membership on June 23 will trigger market mayhem.‎

This article is designed to be an easy-to-understand guide that lists the margin and ‎leverage changes across most of the key players in the trading industry. ‎The tightening of the trading conditions was a mandatory step to help ‎ensure that their clients are provided with better protection against the predicted volatility ‎surrounding this event. ‎

You can find below a list of ‎brokers that have updated their trading requirements, and more ‎‎will be added as news comes in.‎

Darwinex: Margin for EUR crosses up to 2% (from 0.5%-1%), margin for EUR/GBP up to 5%. Date of effect: June 16th

Admiral Markets: Margin for GBP pairs and FTSE100 up by five times on Admiral.Markets accounts. Date of effect: June ‎‎20th

JFD ‎Brokers: Margin for AUD/USD, USD/CAD, NZD/USD, USD/JPY down to 0.5% from ‎‎1.0%. Date of effect: June 12th

GMO ‎Click: Limits to size of open positions. No GBP/JPY trading on FX options. Date of effect: June 11th

FXCC: Margin for all GBP and EUR pairs up by 200% and 100% for all remaining ‎ones. Margin call level up to 150% and stop out level up to 100%. Date of effect: June 13th

Dukascopy: Leverage for GBP pairs down to 1:30 and for GBR.IDX to 1:10. Date of effect: June 22nd ‎

Saxo ‎Bank: Margin for all UK Index CFDs up to 8%, GBP pairs up to 7%.Date of effect: June 20th

Orbex: Leverage for GBP and EUR pairs down to 1:25, other symbols 1:100, stop out ‎level up to 50%. Date of effect: June 16th

IG ‎Group: Margin for FTSE100 and all GBP pairs up to 1% from 0.5%.Date of effect: June 17th

OANDA: Leverage for GBP pairs down to 1:20 and for EUR pairs down to 1:50. Date of effect: June 17th

IronFX: Margin for FTSE100 and GBP crosses up to 5%‎. Date of effect: June 17th

XM: Margin for all currency pairs, gold and silver up to 4% and 10% for all CFDs ‎on equity indices and commodities.‎ Date of effect: June 22rd

Rakuten: Maring for GBP pairs up, GBP/USD to $140. Date of effect: June 19th

Z.com: Leverage for EUR/USD down to 1:100, GBP/USD, GBP/JPY, EUR/GBP to 1:50. Date of effect: June 19th

Invast: Net open positions for GBP crosses restricted, higher margin.Date of effect: June 20th

AxiTrader: GBP crosses, several EUR, XAGUSD, XAUUSD, European indices- margin ‎down to 1:20. Other instruments 1:100. Date of effect: June 20th

LiteForex: GBP and EUR pairs, oil, indices, commodities – margin increase up to ‎twentyfold. Only ‘close mode’ for exotic GBP and EUR crosses.‎ Date of effect : June 20th

Vantage ‎FX: Margin increase up to 5% and 2% for XAUUSD, limited max trade size and ‎‎’close only’ mode for minor GBP and EUR crosses.Date of effect: June 20th

FxPro: Margin for indices increased to 5% and FX to 2%(cTrader) and up to 0.5% for ‎MT4, depending on position size.‎ Date of effect: June 17th

FxCrown: Margin for GBP and EUR crosses down to 4%‎. Date of effect: June 17th

ETX: Margin for indices up to 2%(5% for Spain/Italy) and 3% for gold and oil. ‎Margin for GBP pairs and minor EUR up to 3%. GBP/CHF and EUR/CHF up to ‎‎6%.‎ Date of effect:  June 16th

Forex.com: Margin for GBP pairs and UK indices up to 3% (including EUR/GBP). Margin ‎for EUR pairs and indices and US indices up to 1%.‎Date of effect: June 17th

Capital ‎Index: Margin for all tradable assets up to 5%, stop out level up to 90%. Date of effect: June 17th

Roboforex: ‎’Close only’ mode for GBP pairs. Since 23rd deposit for GBP instruments up ‎to 20 times.‎ Date of effect: June 20th

DeltaStock: Possible changes – to be updated. Date of effect: TBA

INTL ‎FCStone: GBP and EUR pairs, gold, silver- 200% of min CME margin.‎ Date of effect: June 16th

BMFN: Deposit for FX up to 2%, commodities to 5%,indices to 10%. Stop Out at ‎‎100%. Date of effect: June 19th

Pepperstone: Leverage for GBP pairs and UK100 down to 1:50, for EUR pairs and indices ‎down to 1:100.Date of effect: June 18th

DMM FX: Trading suspended on GBP and EUR pairs. Date of effect: June 22nd

UFX: Margin on all GBP pairs up to 2% and for Gold 1%. Date of effect: June 22nd ‎

‎OctaFX: Margin for EUR pairs up to 0.5% , margin for pairs up to 1%, and can be ‎increased to 2% (1:50)‎. Date of effect: June 23rd

ForexClub: Maximum leverage available for trading is not going be more than 1 to 20. ‎Also, next week it could be lowered further to 1 to 10 and other limitations ‎may be applied.‎ Date of effect: June 22nd

SwissQuote: Select GBP crosses margin increased to 5%: Date of effect: June 17th

Fullerton Markets: Increase in margin requirements on a selection of GBP crosses ranging from 2%-4%. Date of effect: June 21st

ICM Capital: All EUR crosses will have a leverage of 1:50, all GBP crosses will have a leverage of 1:25 and F100 and DAX will have a margin of $5,000. Date of effect: 12th June

This article was prepared with the assistance of Finance Magnates Business Intelligence Department.        

Hot Forex - Another Giant in Africa

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HotForex, a foreign exchange broker regulated by the Financial Services Commission (FSC) of Mauritius under the name HF Markets Ltd., has extended its licensing to a new jurisdiction today, bringing the South African market under its mantle of operation, according to a recent HotForex statement.

Open A Live Trading Account with Hot Forex Here and gain free membership to our Trading Room, where you will stay updated.

Many brokers have been eyeing growth and future markets that have included such regions as Southeast Asia, Latin America, and Africa. Boasting one of the world’s top ten capital markets and thousands of investors, South Africa has become a repeated destination for brokers looking to expand their presence on the continent.

HotForex presently holds licenses under the FSC, the Financial Service Authority (SVGFSA), and the Cyprus Securities and Exchange Commission (CySEC) license – per its latest ambitions, it has now added the licensing of the Financial Services board (FSB) of South Africa via HF Markets (SA) Ltd.

Open A Live Trading Account with Hot Forex Here and gain free membership to our Trading Room, where you will stay updated.

The license itself operates under the name HF Markets SA (PTY) Ltd with license number 46632 and will be helpful in expanding its focus in the region moving forward. As opposed to other saturated locales, South Africa stands to constitute a large amount of new business, with HotForex looking to capture new clients.

Nigerians are already in with Hot Forex office in Nigeria before South Africa. 

Emalbans Fx. 

Gold Hits 5-Week High amid Brexit Turbulence

Gold’s next major resistance hurdle is located above the psychological $1,300 level.

This article was written by Evdokia Pitsillidou, Risk Management Associate at easyMarkets.

Gold prices are trading at new monthly highs, as jitters over Britain’s upcoming referendum on European Union membership has triggered wide scale risk aversion in the global financial markets.

Since June 1, gold prices have soared over $70 or 6% to $1,285.00 a troy ounce, the highest level in five weeks. The increase also confirmed a bullish reversal for the yellow metal, according to the short-term momentum indicators.

Gold’s next major resistance hurdle is located above the psychological $1,300 level. The yellow metal last traded above that level in August 2015. After several failed attempts through the first five months of 2016, the metal appears poised for another re-test of $1,300.

 The precious metals rally has not been limited to gold. Silver futures have spiked 9% since the beginning of June, reflecting the growing investment appeal of the grey metal, which benefits from industrial as well as investment demand.

Much of the recent advance in gold and silver has been tied to anxieties about the Brexit vote. Markets are in disarray at the moment, as investors speculate about the economic and political consequences of Britain quitting the EU. British assets have been hit especially hard. London’s FTSE 100 Index is trading at its lowest level since February, while the pound has slumped to fresh two-month lows against the US dollar.

Brexit anxiety has been driven by several opinion polls showing that the Leave campaign is holding sway among British voters. A recent TNS poll gave a seven-point lead to Vote Leave, a broad political coalition headed by Conservative MPs Boris Johnson and Michael Gove.

According to a separate YouGov poll for The Times, the Leave camp holds 46% of the popular vote, compared with 39% who support British Prime Minister David Cameron’s Remain camp.

Britain’s referendum on European Union membership will be held on June 23. Nobody knows exactly what a Leave vote could entail for the British economy or global financial markets, but investors can expect waves of turmoil leading up to that date. A Leave vote on June 23 could propel gold and other precious metals to multi-year highs, as investors seek a hedge against global volatility.

In the short-term, gold’s biggest obstacle continues to be the US dollar. Since the NFP meltdown on June 3, the dollar has rebounded 1% against a basket of global currencies. However, with the Federal Reserve unlikely to raise interest rates this summer, the dollar’s gains are likely to be limited absent any unexpected market catalysts.

Those catalysts are unlikely to present themselves before the June nonfarm payrolls report, which will be released July 8. US job creation slowed to a dismal 38,000 in May, the Labor Department reported earlier this month. This shocking low figure raised doubts about the health of the US economy, pushing the dollar to monthly lows and supporting a short-term spike in gold and silver prices. This suggests that the inverse relationship between the US dollar and gold is likely to continue for the foreseeable future.