Moneta Markets uses Dynamic Leverage to temporarily reduce the maximum leverage available on affected products during designated news and market opening or closing periods. The reduction applies automatically to help manage risk during volatile conditions.
Why is leverage temporarily reduced?
Market volatility and price gaps can increase significantly around major news releases and the weekly market opens. Reducing leverage increases the margin required for new trades during these periods and is intended to help limit exposure to sudden market movements.
When does Dynamic Leverage apply?
Dynamic Leverage may apply during the following periods:
- Major news releases: From 15 minutes before until 5 minutes after the release.
- Monday market open: The first 30 minutes after the relevant product opens.
- Monday to Thursday market close: The final 30 minutes before the relevant product closes.
- Friday market close: During the final 3 hours before the relevant product closes.
- Before a full-day Gold market holiday: The final 3 hours before market close when the following trading day is a full-day Gold market holiday.
- After a full-day Gold market holiday: For the first 30 minutes after market open when the previous trading day was a full-day Gold market holiday.
Check the weekly Dynamic Leverage period on the Moneta Markets Notifications page for the designated periods and affected products.
All times are in server time: GMT+2 during non-daylight-saving time and GMT+3 during daylight-saving time. Convert server time to your local time zone when checking the dynamic leverage period.
Which products does Dynamic Leverage affect?
For scheduled news, the affected products depend on the event:
- USD news: Forex, Gold, Silver, Indices and Commodities.
- Oil news: Oil and Commodities.
- Other major economic news: Forex.
- Full-day Gold holiday adjustments: Gold, Silver, Oil, Forex, NAS100, SP500, DJ30 and US2000.
Does Dynamic Leverage affect existing positions?
Dynamic Leverage applies only to new positions opened during the affected period. Positions already open before the period begins are not subjected to the temporary reduction.
See What changes when Dynamic Leverage applies? for product limits, margin effects and the treatment of positions.
