Trading rules

Construction of charts

In the MetaTrader 4 trading system, in construction of price charts, both the maximum price (High) and the minimum price (Low) are taken at Bid price.

Minimum lot size

Forex Lot is basically representation of Trade Size in a different format. A Standard Lot would represent 100,000 of any currency, whereas a Micro Lot represents 1,000 of the base currency.

When working with micro lots (0,01-0,09) only one transaction per second can be executed.

Rules for running and executing deferred orders

Acceptance of and changes in deferred orders may be terminated 3 minutes before THE release of significant macroeconomic figures and important political or economic news.

The minimum distance for which it is possible to place pending orders or place T/P and S/L orders is equal to the spread per instrument. The minimum distance for S/L orders may be increased up to 10 spreads 10 minutes before closure of trades and 10 minutes before the release of significant figures of macroeconomic statistics and important political or economic news. Thirty minutes before closure of trades, the level for S/L orders is increased to 25 spreads. This rule applies also to the opening of market and pending orders with a pre-determined S/L value, falling within the range of 10 (25) spreads.

The MetaTrader 4 software does not allow one to separately modify T/P and S/L values. The MetaTrader 4 program does not allow one to separately change stop loss and take profit orders. Hence any attempt to modify take profit, if there is a pre-determined stop loss order, and if it (the stop loss) is within the range of 10 spreads, will be blocked automatically.

If the market price moves close to the values of T/P or S/L orders, or the opening price of a deferred order within a distance of 2 points, the program will automatically prohibit any modification or removal of such orders.

Execution of orders if the market opens with a gap or a gap occurs during the day

If the market opens with a gap or a gap occurs during the day (it generally happens after weekends or holidays, upon release of significant macroeconomic data, economic or political news, or in the event of Force-Majeure events), orders are executed as follows:

Take Profit (T/P) orders are executed at stated prices;
Stop Loss (S/L) orders are executed at stated prices;
Stop Loss (S/L) orders set for lock positions, are executed at first market prices;
Limit orders are executed at stated prices;
Buy Stop and Sell Stop orders for position opening are executed at first market prices.

Margin Requirements

If at any time Equity (current balance including open positions) is equal to or less than 20% of the margin (collateral) occupied by open positions, a dealer is entitled at their discretion to close one or all open positions in order to meet margin requirements.