Terms and Policies
Market Orders and Trades
What is a market order?
A market order is an instruction to buy or sell a CFD, in a specified size, at the best available market price for that size. It is important to note that a market order can be executed at a price different from quoted at the time it is placed. Once executed, a market order immediately becomes an open trade that can be watched in the ‘Portfolio’ tab. Market orders can only be placed during the trading hours of the underlying asset. A market order can have Take Profit/Stop Loss Orders attached.
How long can I keep my trade open?
If you have enough money on your account, you can keep your trades open for as long as you want. Please note that if your trade remains open at the end of the day, an overnight fee is charged.
What should I know about margin trading?
Trading on margin means to trade securities using funds borrowed from a broker. To trade on margin, you have to open a margin account and deposit a certain amount of money, which will literally serve as a collateral for a loan. Margin trading offers you an exposure to bigger trades and profits, but involves greater risks as well.
What is margin call?
A margin call is sent when the ratio between your equity and your required margin fails to meet our requirements. A margin call is a key risk management tool preventing your losses from piling up. If your equity drops below 125% of the required margin, you’ll receive our first margin call message. You will still be able to open new trades and place orders. The next margin call is sent if your equity goes below 100% of the required margin. You will no longer be able to open new trades or place orders. If your equity to margin ratio drops below 75%, you’ll receive the third margin call. You will still not be able to open new trades or place orders. If the equity is equal to or less than 50% of the required margin, it means you have reached the minimum-allowed margin level and your trades will be gradually closed out.
How does gradual margin closeout work?
Once your account drops below 50% of the required margin, the trades will be closed out in the following order: At first, Good-Till-Cancel (GTC) orders are closed; If the margin level remains below 50%, all losing open positions on the open markets are closed; If the margin level is still below 50%, the remaining positions on the open markets are closed; If the margin level stays below 50%, all the remaining positions are closed as soon as the markets are open.
