HiWayFX, a Cyprus and offshore-regulated forex broker, announced it is reopening trading in Turkish lira, starting from 16.00 (server time) on July 25. It had set it to “close only” last week.
The continuous uncertainty of Turkish economy after the failed military coup on July 15, as well as the downgrading of Turkey’s credit rating to double-B, with a negative outlook by the Standard & Poor’s rating agency and the lira plunge, however, are prompting HiWayFX to lower the leverage on USDTRY and EURTRY currency pairs.
Along with the resuming of trading on Turkish lira, the margin requirements for pairs with the Turkish lira will be increased twofold to 1%. This means that if the current account leverage is 1:500, the new leverage on those pairs will be 1:100, explains the broker and asks its clients to re-evaluate their positions and calculate whether they need to make additional deposits. The measure is designed to minimize any disproportionate fluctuations in positions.
Meanwhile, HiWayFX will continue to monitor the market volatility and will take additional measures, if necessary.
HiWayFX supports the popular MetaTrader 4, as well as GWAZY white-label trading platform and also offers a wide range of extra services, like a specialized account for the ZuluTrade peer-to-peer online trading network and Trading Signals social trading service. It is regulated by the financial watchdogs of the island countries of Cyprus and St. Vincent and the Grenadines.
The broker was among the several who either changed Turkish lira pairs trading to “stop only” – FxPro and ThinkForex, Alpari, or hiked the margins – Dukascopy, Blackwell Global, in the aftermath of the coup. Later FxPro announced it is restoring trading from July 25, but with a higher margin.