Leverage allows traders to control large market positions using a small deposit ("margin"). While leverage can generate substantial profits, it equally exposes traders to devastating losses. A minor adverse move in market prices can deplete an account's equity within seconds.
Traders must monitor margin levels diligently. When account equity reaches the 30% Stop Out threshold, open positions will be forcibly liquidated at prevailing market quotes without prior notification.
Global financial markets are subject to sudden macroeconomic announcements, political instability, and unscheduled news events. During such episodes:
- Price Gaps: Prices may jump from one quote to a significantly different quote without intermediate transactions occurring. Stop-Loss orders may not execute at the specified price.
- Slippage: Orders sent into fast markets are executed at the best available liquidity price, which may differ from the requested rate.
- Spread Widening: Spreads can expand substantially during market openings, rollover hours, or major central bank press conferences.
When trading instruments denominated in currencies other than your account's base currency, foreign exchange fluctuations will directly influence your net realized profits and losses upon currency conversion.
Electronic trading relies on public telecommunication networks and hardware devices. CPT Markets Ltd is not responsible for losses caused by client-side equipment malfunctions, ISP outages, power shortages, or routing latency.
CPT Markets provides an execution-only trading facility. None of our market updates, webinars, algorithmic indicators, or support communications should be treated as individualized investment advice. You should consult an independent certified financial advisor prior to participating in margin trading.
CPT Markets contracts with Tier-1 global liquidity providers and holds client funds in segregated accounts with leading international credit institutions, strictly separated from the company's operational funds.