METALS

Trading spot gold and silver allows you to take a long or short position in gold or silver while at the time taking an opposite position in U.S. dollars or Euro. It’s a great Opportunity to diversify your investments and risk.

The volatility in precious metals can provide many trading opportunities in both rising and falling markets.

Gold is considered a ‘safe haven’ investment and may be used as a hedge against inflation.

 
  • ACFX uses a dynamic leverage model for metals which automatically adapts to trading positions.
  • As the trading volume per Instrument of a client increases, the maximum leverage offered decreases accordingly
    as per the table below
  • In case of positions in the same Instrument in both directions, required margin is calculated only on volume of
    the direction with the maximum exposure

 

Metals Margin Requirements

Lots Margin Leverage
0-10 1% 1:100
>10-50 2% 1:50
>50-100 4% 1:25
>100-150 6% 1:16.67
>150-300 10% 1:10
>300 20% 1:5

 

Example

Consider a USD account with 200 Buy or Sell lots of Gold at price of 1300 USD:

Margin Calculation Margin USD
1%(margin req.) * 100(oz) * 10(lots) * 1300(price of gold) 13,000
2%(margin req.) * 100(oz) * 40(lots) * 1300(price of gold spot) 104,000
4%(margin req.) * 100(oz) * 50(lots) * 1300(price of gold spot) 260,000
6%(margin req.) * 100(oz) * 50(lots) * 1300(price of gold spot) 390,000
10%(margin req.) * 100(oz) * 50(lots) * 1300(price of gold spot) 650,000
Total Margin Required (200 Lots Gold) 1,417,000

** The above spreads are applicable under normal trading conditions. ACFX has the right to amend the above spreads
according to market conditions as per the ‘Clients Agreement.’

 

Important Notes

Metal trading hours are from 01:00  until 24:00 from Monday till Friday.

Margin Call Level is 50% and Stop Out Level is 25%

For Islamic swap free accounts a commission of 15 USD per lot traded will be charged as a handling fee from the 8th
day