Due to the probability of high volatility, periods of low liquidity and risk of significant price gaps that might appear on GBP trading instruments following the Referendum on EU membership held in the United Kingdom on 23 June 2016 (also referred to as ”Brexit” vote), Dukascopy plans to temporarily decrease maximum leverage on GBP currency pairs to 1:30 and to 1:10 on GBR.IDX index CFD as of Wednesday, 22 June 2016 18:00 GMT.
In effect this means that on the week of the ”Brexit” referendum the over-the-weekend leverage mode (1:30) for GBP instruments will be applied 2 days earlier than usual. Exception is made for GBR.IDX where the special leverage mode will be 1:10.
It is expected that the special leverage requirements will be removed on Sunday at the market opening, 26 June 2016. However, Dukascopy reserves the right to prolong or reconsider the special leverage conditions for GBP instruments if found necessary based on the market reaction to the results of the vote.