Do not invest more money than you can afford to lose.
Multi-licensed forex broker FxPro said on Friday trader position on the cTrader platform will be partially closed if they fall under the required margin level. As of 17 October, 2016, only the necessary parts of positions will be closed so that account margin level is greater than Stop Out level (30%).
Until now, positions that were below the margin minimum were closed to their entirety to restore margin level. The change is needed since Spotware Systems, the developer of cTrader, has implemented a new Stop Out Logic for all brokers that would come into effect as of the coming Monday.
Under the stop out concept, once traders’ funds fall below the minimum margin requirement (which differs with each broker), positions with the highest margin (or in this case part of positions) are instantly and automatically closed at the current market prices.
The change has been reflected in the FxPro’s client agreement papers.
“At margin levels of 40% for FXPro cTrader, Fxpro Markets and MetaTrader 5, the firm has the discretion to begin closing positions at Smart Stop Out. In addition, at margin levels of 30% for FXPro cTrader, Fxpro Markets and MetaTrader 5, the firms shall automatically begin closing positions at Smart Stop Out,” the agreement read.
cTrader is one of many retail forex trading platforms. It is an electronic communication network (ECN) trading platform that provides full Straight Through Processing (STP) access to the forex market and features a comprehensive charting, a wide range of order types, technical analysis, custom indicators, and a quick-trade option. It is available for desktop, mobile and web users. The platform is used by a number of forex brokers, including RoboForex, TradeView, IC Markets, OctaFX, MaxFX and others.
FxPro is the collective brand name of FxPro UK Ltd., an entity regulated by the UK Financial Conduct Authority (FCA), and FxPro Financial Services Ltd., which is licensed by the Cyprus Securities and Exchange Commission (CySEC) and the Financial Services Board (FSB) of South Africa.
The brokers offer complete services for all segments of the retail forex market, as well as trading with futures, indices, metals, shares, and contracts for difference (CFDs).
