Trading Forex instruments may not be suitable for all investors. You’ll be able to lose a substantial amount of wealth in short period of your time. The wealth you can lose is potentially unlimited and may lose your all deposited money with your Market Equity Inc account. This is because small investment and high leverage used to establish a position in assets having a much greater value. If you are uncomfortable with this level of risk, you can avoid trade Forex trading instruments with high leverage. You must be aware that the regulatory protections applicable to your account are not ensure you against losses you may incur as a result of a decline or increase in the prices. As with all financial products, you are solely responsible for any losses in your account.
The information on this site isn’t directed at residents of the United States and isn’t intended for distribution to, or use by, anyone in any country or jurisdiction where use would be against to local law or regulation.
As with any high risk financial product, you must not risk any funds that hard earned you cannot afford to lose, like your retirement savings, medical and other emergency funds, make a separate fund for purposes such as education or homeownership, proceeds from student loans or mortgages, or funds required to satisfy your living expenses.
Be cautious of claims that you just can make large profits from trading Forex trading instruments. Although the high leverage within the trading instruments can result in large and immediate gains, it may also lead to large and immediate losses. Like any financial product, there is no such thing as a “sure winner.”
You can feel the effects of your losses immediately due to leverage. Gains and losses in Forex trading instruments are credited or debited to your account’s equity in real-time mode. If movements in the markets of the underlying asset decrease the value of your positions in Forex trading instruments, you may be required to submit additional funds to Market Equity Inc as margin. If your account is under the minimum margin requirements set by Market Equity Inc, your position may be liquidated at a loss, and you will be liable for the deficit in your account.
It is impossible and difficult If you cannot liquidate your position in a Forex trading instrument during trading, you’ll not be ready to realize a gain in the value of your position or prevent losses from mounting. This inability to liquidate could occur, for instance, if trading is halted because of unusual trading activity in either the Forex trading instrument or the underlying asset; If trading stopped due to global news or system failure in Market Equity Inc or in exchange; or if the position is on an illiquid market. If you are able or not able to liquidate your position, you may be forced to do so at a price that involves a huge loss.
It may also be difficult or impossible to manage your risk from opening a Forex trading instrument position by entering into an equivalent but opposite position, on another market, or in the underlying asset. This inability to take positions to limit your risk could occur, for example, if trading stopped due to global news or system failure in Market Equity Inc or in exchange; or if the position is on an illiquid market. If you are able or not able to liquidate your position, you may be forced to do so at a price that involves a huge loss.
The prices of Forex trading instruments might not maintain their customary or anticipated relationships to the value of the underlying asset. These pricing disparities could occur, as an example, when the market place for the actual Forex instrument is illiquid, when the main market for the underlying asset is closed, or when the reporting of transactions within the underlying asset has been delayed. For index products, it could also occur when trading is delayed or halted in some or all of the securities that create the index.
You may experience losses like any financial transaction if your orders for Forex trading instruments not able to be executed normally because of systems failures on a regulated exchange or at Market Equity Inc carrying your position.
All trading instruments involve risk, and there is no trading strategy that may eliminate it. Strategies using combinations of positions like spreads could also be as risky as long or short positions. Trading in Forex instruments requires knowledge of all relevant markets.
Day trading strategies involving Forex instruments and other products pose special risks. As with any financial product, persons who seek to buy and sell the Forex instrument in the course of each day to make a profit from intra-day price movements (“day traders”) face many risks, including substantial commissions, exposure to leverage, and competition with professional traders. You need to thoroughly understand these risks and have appropriate experience before engaging in day trading.
Placing contingent orders like “stop-loss” orders, not ultimately limit your losses to the intended amount. Market Equity Inc may permit you to enter into stop-loss orders for CFDs, which are intended to limit your exposure to losses because of market fluctuations. However, market conditions may make it impossible to execute the order or to be stopped out.
You should read and understand our “Customer Agreement” and “Terms and conditions” published on our Website before entering into any transaction.
MARGIN AND LEVERAGE
When Market Equity Inc lends a customer part of the funds needed to buy or sell a Forex instrument, the term “margin” refers to the amount of funds the customer is required to have in his account in order to be able to enter into a trading instrument transaction. Market Equity Inc requires margin to be on deposit in the account before it accepts an order on any Forex instrument.
Because the margin deposit required to open a Forex trading instrument position may be a fraction of the true value of the underlying assets being purchased or sold, Forex instruments are said to be highly leveraged. The smaller the margin requirement in regard to the worth of the underlying asset, the greater the leverage. Leverage allows exposure to a given quantity of an underlying asset for a fraction of the investment needed to buy that quantity outright. Buying or selling a Forex instrument provides the equal Dollar and Cents profit and loss outcomes as owning or shorting the underlying asset. However, as a percentage of the margin deposit, the potential immediate exposure to profit or loss is incredibly higher with a Forex instrument than with the underlying asset.
RISK OF MARGIN TRADING
You have to grasp in mind that trading on margin involves a high degree of risk and can incur loss than the amount you have deposited in your account.
REQUIREMENTS TO MAINTAIN SUFFICIENT MARGIN
Your margin transactions are subject to the initial margin and maintenance margin requirements (the “Margin Requirements”) established and posted by Market Equity Inc on its website. The general formula for calculating Margin Requirements provided on the website are only indicative and may not reflect the actual Margin Requirements at a particular time for your portfolio.
The margin required by Market Equity Inc may exceed the margin required by any exchange firm. Market Equity Inc may modify such Margin Requirements for any of your open and new positions, at any time. Market Equity Inc may reject any of your orders if you do not have a sufficient free Margin to meet Margin Requirements and may delay any order while determining the correct margin status of your account. You have to maintain, without notice or demand from Market Equity Inc, a sufficient account balance at all times to continuously meet the Margin Requirements. As set forth herein, you have to submit all payments to satisfy Margin Requirements directly to Market Equity Inc in accordance with the instructions set on its website.
Market Equity Inc has no obligation to notify you of any failure to satisfy Margin Requirements in your account before Market Equity Inc exercising its rights under its “Customer Agreement”. You have got to know that Market Equity Inc generally won’t issue Margin Calls notifications and cannot credit your account to satisfy intraday margin deficiencies which authorized to liquidate positions in your account so as to satisfy Margin Requirements.
LIQUIDATION OF POSITIONS (SHORT MARGIN OR STOP OUT)
When your account balance has zero equity, or it does not have a sufficient account balance to meet the Margin Requirements, or the “Customer Agreement” between you and Market Equity Inc has been terminated, Market Equity Inc shall have the right to liquidate all or any of your positions in any of your Market Equity Inc accounts, whether carried individually or jointly with others at any time and in such manner and in any market as Market Equity Inc deems necessary, without prior notice or Margin Call to you. You have to agree to be responsible for, and pay to Market Equity Inc, any deficiencies in your account that arise from such liquidation or remain after such liquidation. Market Equity Inc will not have any liability to you in connection with such liquidations (or if the Market Equity Inc Trading Platform(s) experience(s) a delay in effecting.
You have to waive any rights to receive prior notice or demand from Market Equity Inc and agree that any prior demand, notice, announcement or advertisement shall not be deemed a waiver of Market Equity Inc right to liquidate any of your positions. You have to understand that, in the event positions are liquidated by Market Equity Inc, you will have no right or opportunity to determine the order or manner of liquidation.
Market Equity Inc may, in its sole discretion, effect a liquidation on any exchange. In the event that Market Equity Inc liquidates any or all positions in your account, such liquidation shall establish the amount of your gain or loss and indebtedness to Market Equity Inc, if any. You will have to reimburse and hold Market Equity Inc not responsible for all omissions, expenses, fees, penalties, losses and liabilities associated with any such transaction undertaken by Market Equity Inc.
You have to acknowledge and agree that Market Equity Inc deducts overnight adjustments, commissions and various other fees from your accounts which such deductions may affect the cash of equity in your account to be applied against the Margin Requirements.
Your positions maybe get liquidated as described herein if deduction of commissions, fees or other charges causes your account to have an insufficient balance to satisfy the Margin Requirements.
Market Equity Inc, in its sole discretion, may liquidate your positions at any time:
For any deficit in any of your accounts that continues to be unpaid, you have to comply with pay and to be responsible for all the costs and expenses of collection of the debit balance, including, but not limited to, attorneys’ fees and/or collection agent fees.
On the expiration date, the underlying derivatives contract ceases to exist. The expiration of any futures contracts is established by the exchange on which the contract is listed. However, the precise expiration time for a selected CFD could also be established by Market Equity Inc independently from the expiration time of the underlying asset.
If you do not liquidate your position prior to the expiration of the CFD, you are obligated to make or accept a cash settlement of the expired CFD at the last dealing price quoted by Market Equity Inc.
SPECIAL RISKS FOR DAY TRADERS
Certain traders who pursue everyday trading strategy, may seek to use Forex instruments for their trading activity. Investors engaging in a day trading activity face a lot of risks. You can consider these points before engaging in highly risky day-trading strategy. For purposes of this notice, a “day-trading strategy” means an overall trading strategy characterized by the regular transmission by a customer of intra-day orders to affect both purchase and sale transactions within the same Forex instrument.
Day trading are often extremely risky. Day trading generally won’t appropriate for somebody of limited resources and limited investment or trading experience and low risk tolerance. You have to be prepared to lose all of the funds that you just use for day trading. You should not fund day-trading activities with retirement savings, second mortgages, emergency funds, funds put aside for purposes such as education or home ownership, or funds required to satisfy your living expenses.
You should be wary of advertisements or other statements that emphasize the potential for big profits in day trading. Day trading can also can lead to large and immediate financial losses.
Day trading requires lot knowledge and experience as it is highly risky and may lead to high losses. To make profit or attempting to profit you should open account with professional and licensed securities firm. You should have good experience for intraday trading.
Day trading requires knowledge of Market Equity Inc’s business practices, including the operation of the firm’s order execution systems and procedures. Under certain market conditions, you’ll find it difficult or impossible to liquidate or exit a position quickly at a good price. This can be possible, for example, when the market suddenly drops, or if trading is halted because of recent news events or unusual trading activity. The more volatile a market is, the greater the likelihood that problems is also encountered in executing a transaction. More over to normal market risks, you may experience losses due to systems failures.
Day trading will generate substantial commissions, even if the commission is low. And you have to pay a commission on each trade on certain markets, as specified by Market Equity Inc.
Day trading on margin lead to losses beyond your initial investment. Borrowed funds from institutions or from some persons may lead to big danger to lose your all money. A decline in the margin that of purchased contracts may require more investments to avoid liquidation of positions. In these market conditions, short selling of day trading strategy also may lead to lose of invested capital.
The purchaser of a CFD doesn’t receive the corporate disclosures that are received by shareholders of the underlying security. Treatment of dividends and other corporate events affecting the underlying security might not be reflected with in the CFD depends upon Market Equity Inc rules and policies.
Consequently, individuals should consider how dividends and other developments affecting CFDs within which they transact are going to be handled by the relevant exchange. The particular adjustments to the terms of an underlying asset are governed by the principles of the applicable exchange.
SPLITS, SPECIAL DIVIDENDS, MERGERS AND ACQUISITIONS
Corporate occasionally announce stock splits. As a result of these splits, owners of the issuer’s holdings may increase and own more shares of the stock, or fewer shares in the case of a reverse stock split up. The treatment of stock splits for persons owning a CFD may vary in line with the terms of CFD trading with Market Equity Inc.
Corporates also occasionally issue special dividends. A special dividend is an announced cash dividend payment outside the customary practice of a corporation. The terms of a CFD may be adjusted for special dividends in Market Equity Inc’s sole discretion.
With regard to stocks futures or indices, there may be no adjustments for ordinary dividends as they are recognized as a normal and customary practice of an issuer and are accounted for in the pricing of futures and indices.
Corporate issuers occasionally could also be involved in mergers and acquisitions. Such events may cause the underlying stock of CFD to modify over the contract duration. The terms of CFDs may additionally be adjusted to reflect other corporate events affecting the underlying assets.
The reader may consult their tax advisors on the tax consequences of these transactions and consult them in everything related to this activity. This is the responsibility of the traders.
Market Equity Inc endeavors to produce clients with the most attractive pricing and attempts to induce all orders executed at the requested rate. However, because of an increase in volatility or volume, orders may be subject to slippage. This happens during fundamental news events, trading halts, weekends or other market gaps.
The volatility within the market may create conditions where orders are difficult to execute, market rates may fluctuate in during a short time because the acute market movement. Although the client may request to execute at a particular price, the market may have moved significantly that it’s impossible to execute the order at the requested price then the orders are executed at the most effective available price.
Once a stop loss order is triggered, it becomes “at best market” order, and can be executed at the closest possible rate. There’s no guarantee that it’ll be executed at any particular given price then the stop loss orders may incur slippage looking on market conditions.
DELAYS IN EXECUTION
A delay in execution may occur for various reasons, like technical issues with the trader’s internet connection to connect Market Equity Inc servers, which can lead to “hanging” orders. The FX net Trading Station might not be maintaining a continuing connection with Market Equity Inc servers because of absence of signal strength from a wireless or dial-up connection. A disturbance with in the connection path can sometimes interrupt the signal, and disable the FX net Trading Station, causing delays in transmission of information between the trader’s Trading Station and the Market Equity Inc server.
GREYED OUT PRICING
Market Equity Inc doesn’t intentionally make the prices not fluctuate. However, this can be happened in certain market conditions, opening of markets, when liquidity decreases, on weekends or when market makers that provide pricing doesn’t seem to be actively making a marketplace for particular currency pairs. At times, a severe increase within the difference of the spread may occur because of a loss of connectivity or because of an announcement that features a dramatic effect on the market that dries out liquidity. Such greying out of costs or increased spreads may lead to margin calls on a trader’s account.
A Stop loss order is really a limit order.
The Stop Loss order executes a deal at a relative loss, as determined by the client, at a rate inferior to the present market rate. The client can decide a stop loss rate for opening or closing a trade and increasing or decreasing his exposure. Employing a Stop Loss order to open a trade, is an order to buy or sell a financial asset against another at an inferior rate to the market rate. Employing a Stop Loss order to break a trade or to decrease an exposure, is an order which executes an opposite position to an existing one at a rate inferior to the market rate.
A Stop Loss order is generally executed at a rate defined by the client, with the exception of the occurrence of rate volatility during market trading hours such as during news events, trading halts or over the weekend, when the first trading day after the trading halt or weekend starts with different opening rates from the market closing rates. In these circumstances, the order is executed at the closest possible rate (i.e. market rate during the execution (“at best market” order). Please note that some currencies or other instruments (e.g. commodities and indices) which aren’t traded on a 24 hour may experience a market gap on a daily basis and are therefore more vulnerable to slippage. Therefore, these instruments may experience more incidents of executing Stop Loss orders at the best market rate.
This term refers to the interest either charged or applied to a trader’s account on Market Equity Inc. Trading Station for positions held “overnight” or every 48 hours (depending on the account type), meaning after Midnight (GMT). It’s important to make note that the accumulative “overnight” rollover charges could also be beyond the forward outright. When all positions are hedged in an account, although the net position could also be flat, the account can still sustain losses due to the spread that to be changed at the time rollover occurs.
ERRORS IN RATES
Online trading strategy isn’t perfect and, in rare cases, it may be disrupted. This could only last for an instant, but when it does, spreads often become affected. During these rare occasions, Market Equity Inc advises clients to avoid placing at the Best orders. While it should be tempting to put an “arbitrage transaction”, one should thing that the prices are don’t seem to be real and your actual fill could also be many pips away from the displayed price.
In the event that trades are executed at rates not actually offered by Market Equity Inc, the company reserves the right to reverse such trades, as they are not considered valid trades. Keep in mind these instances are usually rare, and by placing orders or not trading during these moments, traders can avoid the risk.
Forex weekly activity begins on Sunday Midnight until Friday midnight, During the Daylight-Saving times these activity hours changes, seasonal time adjustments, and strange liquidity conditions arise from exceptional global events. The open or close times may also be changed by the Trading Desk because it relies on prices being offered by financial institutions that provide liquidity to Market Equity Inc. Outside of those hours, foremost world banks and financial centers are closed. The non-availability of liquidity and volume during the weekend impedes execution and price delivery. MT5 trading servers of Market Equity Inc follows GMT+2 with DST enabled.
PRICES UPDATING BEFORE THE OPENING
Shortly before to the opening, the trading desk refreshes rates to reflect current market pricing in preparation for the opening. At present, trades and orders held over the weekend may well be executed. Quotes during the present time are don’t seem to be executable for new market orders. After the open, traders may place new trades, cancel or modify existing orders.
Please be aware that when markets tend to be thinner than usual, it may result in wider spreads, as there are fewer buyers and sellers and Market Equity Inc cannot guarantee a fixed spread.
Sunday’s opening prices may or might not be the like as Friday’s closing prices. At times, the prices on the Sunday open are near to the prices of the Friday close. At other times, could also be a difference between Friday’s close and Sunday’s open. The market may gap if there’s a huge news announcement or an economic event changing how the market views the worth of a currency. Traders holding positions or orders over the weekend should be fully aware of the possibility of the market gap. One of the best things about trading at Forex is that outside of announced major holidays, the trading hours routinely close only once at every week on the weekends, which corresponds with the hours of major banks and financial institutions. In contrast, most stock exchanges close five times each week, and might gap significantly on each day’s open.
Traders who fear that the markets could also be extremely volatile over the weekend, that gapping may occur, or that the potential for weekend risk isn’t appropriate for their trading style, may close out orders and positions before the weekend.
INDICATIVE PRICES DISPLAYED ON THE PLATFORM
It is important to create a distinction between indicative prices (displayed on charts) and tradable prices (displayed on the Trading Station). Indicative quotes are those of the prices in the market, and therefore the rate at which they’re changing. Market watchers, compile indicative quotes for the market’s actual movement. These prices are come from banks and clearing firms, which might or mightn’t reflect where Market Equity Inc’s liquidity providers are making prices. Indicative prices are usually very near to dealing prices. Indicative quotes only give a sign of where the market is. Executable quotes ensure finer execution and thus a reduced transaction cost. Equity and futures traders are used to prices being identical at any given time, no matter which firm they’re trading through or which charting provider they’re using—and they often assume the identical holds true for spot Forex. Because the spot Forex market is decentralized—meaning it lacks a single central exchange where all transactions are conducted—each Forex dealer (market maker) may quote slightly different prices. Therefore, any prices displayed by a third-party charting provider, which doesn’t employ the market maker’s price, will reflect “indicative” prices and not necessarily actual “dealing” prices where trades may be executed.
INTERNET RISK AND TECHNOLOGY
The trader must realize that there are risks related to his use of technology and Internet means represented in interruption, disruption, delay, hackers attempts, data stealing and other risks that require the trader to take all measures to confront them and reduce the risks.
As all companies and banks are exposed to risks related to bankruptcy, seizure and other actions that may pose a risk to their money.
RISKS OF WARS, NATURAL DISASTERS AND FORCE MAJEURE
The client’s trading may be subject to irregularity, interruption or disruption and other procedures that prevent stability due to wars, natural disasters and force majeure.
If the customer is misusing or abusing the swap, then the company have the right to charge the abusing customer 10$ per standard lot.
Trading Timings :
Market Equity Inc trading terminal is ready for trade after 3 minutes of general Market opening timings. In the same way, closing before 3 minutes of general Market closing timings. This is to safeguard our clients from extreme fluctuations.
|Less than 30 lots||1:400|
|30 to 99.99||1:200|
|More than 100||1:100|
All pending orders might be rejected 10 minutes before the market close.
All Orders and Deals will be activated for gap prices above 5 standard PIPS.
There will be executing delay for scalping trades.
Swaps might be activated on some symbols.