Darwinex to Institute Margin Changes as Italian Referendum Looms

Europe is primed for its next big vote this weekend, which has the potential to reverberate throughout the foreign exchange markets – on December 4^th the Italian referendum will be held, prompting several brokers to alter their trading conditions ahead of the event, including social trading brokerage, Darwinex.

The move is largely on a par with those of other brokers that have also initiated leverage thresholds and other changes in anticipation of potential widespread Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad Read this Term. Markets in 2016 have already grappled with the Brexit Brexit Brexit stands for British Exit, or in reference to the United Kingdom’s decision to formally leave the European Union (EU) as declared in a June 23, 2016 referendum. In a more immediate sense, a tight vote and unexpected result helped drive British pound (GBP) to lows that had not been seen in decades.The day following the referendum, former Prime Minister David Cameron resigned from office where he was replaced by Theresa May, who later resigned from office on June 7th, 2019. Active Prime Minis Brexit stands for British Exit, or in reference to the United Kingdom’s decision to formally leave the European Union (EU) as declared in a June 23, 2016 referendum. In a more immediate sense, a tight vote and unexpected result helped drive British pound (GBP) to lows that had not been seen in decades.The day following the referendum, former Prime Minister David Cameron resigned from office where he was replaced by Theresa May, who later resigned from office on June 7th, 2019. Active Prime Minis Read this Term referendum and the US election, each of which resulted in unexpected outcomes.

Both New and Existing Positions Being Affected

While the Italian referendum this weekend is not guaranteed to trigger any major market moves, a ‘No’ vote could provide an impetus that would put Italy on a path out of the European Union – an outcome that would have an enormous affect on the EUR.

Consequently, Darwinex will be implementing several margin changes on December 1st at 21:00 GMT – the changes will however affect both new and existing positions and the list of instruments being affected can be read by accessing the following link.