A Stop Out is triggered when your margin utilization reaches 100%.
Technically, when a Stop Out is triggered, the system will cancel all your open orders and place market orders to close all margin positions.
Do note, a Stop Out does not get cancelled automatically, even when some margin positions are closed and the Margin Utilization fall below 100%.
Remaining positions will be closed, once their respective markets opens. To explain the concept, please refer to the example below.
Example
Assume you are holding CFD positions on Single Stocks traded on SGX-ST (Singapore) and NYSE (US), and the following events take place:
- At 3:00pm Singapore time your margin utilization goes to 100%, and a Stop Out event is triggered.
- SGX-ST is open, NSYE is closed.
- All open orders are cancelled, and market orders are placed to close all CFD positions:
- Market orders related to SGX-ST are filled immediately.
- Market orders related to NYSE are resting.
- 3:01pm your Margin Utilization drops below 100% as result of point (3-a).
- Once NYSE opens, market orders on NSYE are be filled.
If you wish to cancel some market orders, please contact us immediately by chat or phone.
Subject to internal review and approval (pre-condition is Margin Utilization is below 100%), we may be able to cancel these market orders.