Blog post

The Adjustments to Oil Instruments Trading

Dear Traders,

As you already know, the Oil market is having a hard time. To protect your trading from possible negative outcomes of extreme market turbulence, MTrading has to make a few temporary adjustments to trading conditions from April 27. The adjustments will affect overnight fees (swaps), the leverage size, and CFD pricing for WTI and Brent.

1. Overnight fees (swaps) will temporarily increase

During this period, you will notice that swaps may be significantly higher than usual. You can check our daily swap rates on WTI and Brent through the MT4 platform.

2. The leverage will temporarily decrease

- 1:30 up to 100,000

- 1:20 100,000 - 800,000

- 1:10 over 800,000

If you have opened positions:

The new reduced leverage will apply to all new positions in crude oil instruments starting from April 27. Previously established positions in these instruments remain unaffected only until Saturday (May 2) unless you execute any trade on those instruments during the week.

After execution of any type trading order (stop-loss orders, take profit orders, automated trade executions by a Robot/EA and partial closes) in any of Oil CFDs, the system will instantly apply new leverage to all your open positions in the particular instrument.

In any case, on Saturday (May 2) all Oil CFDs positions margin will be adjusted to new conditions.

3. Crude oil CFD emergency pricing:

- If any crude oil CFDs prices fall below 5 USD, we will have to enable 'Close Only' mode and stop accepting new orders;

- If any crude oil CFDs prices fall to 0 USD, we will pause trading to protect clients' account. And will re-open when the prices are above 0.

We hope for your understanding, that in such abnormal market conditions the Company may complete any of the aforementioned actions without additional warning to protect clients' trading from margin call. We hope that soon when market conditions normalize, the constraints will be lifted.

Thank you for trading with us. Remember, that our support team is always ready to help.

Take care and let the good trading luck be with you!