Trading Guidelines (Precious Metals)
Settlement for Stop Loss
1
When there is an unsettled loss in a client’s account for open positions, resulting in the equity value falling below 50% of the held margin value, the client will receive an “alert” message from the Company via Meta Trader’s (“MT4”) system mailbox to notify the client of such situation. The message is a kind reminder indicating that the client should get ready to upkeep the margin as appropriate to ensure continuation of trading
2
When there is an unsettled loss in a client’s account for open positions, resulting in the equity value equal or below 30% of the held margin value, the Company will close part or all of the client’s open positions without further notice (the position with highest loss is given the highest priority) until the equity value is greater than the stop loss margin value for the remaining positions.
* This rule does not mean that the Company has the responsibility to execute stop loss on the behalf of clients and the Company does not guarantee the clients’ losses due to stop loss. If the Company cannot carry out timely stop loss for case (b) as mentioned above, clients have to be responsible for all the incurred losses and fees. Settlement price may be affected by a huge gap up or down in the opening price on Monday or after public holiday, and if there is a drastic market movement, market price could fluctuate and result in a huge price gap. Under these circumstances, the settlement price will be executed based on the opening price or the next available market price after the gap.