Strategy Update 22 August 2021

Below is an update on our strategies.

Our forex broker has advised the following on Friday:

“BlackBull Markets is increasing the margin required for all CHF pairs.
The increase in margin is necessary to mitigate the risks foreseen with the Swiss National Banks intervening in the value of the CHF. We would expect substantial market volatility if there were to be a Swiss National Bank intervention. To protect our clients from a volatile scenario, we will be increasing our margins by 5 times as of Friday 14:00 server time. As an example, if your current leverage on an FX pair is 1:100, then the leverage is being reduced to 1:20 (5 times lower)”.

Due to increasing in margin required we have turned off bots that trade pairs with CHF. For strategies that had one pair open we have closed that trade. For strategies with 2 or more CHF pairs with open trades we have left them open to complete the trade. At this point this is Wave Rock and Kosciuszko. However Karajini will not trade as it only trades USDCHF.

We are expecting this to be a short term change by our forex broker so once the margin reverts back to normal, the CHF trading pairs will be activated again.

On another note we have lowered the risk on the majority of our strategies for this week. There was large movements last week and whilst our strategies managed them well, the large movements seemed an over reaction to news coming out during the week. So better to be safe and lower the risk. Further it has been a great month on gains on most strategies which we will report at the end of the month.

Also suggest those who are subscribed via email also subscribe to our Telegram account as you will receive these updates much more quickly. Link can be found on our homepage to our Telegram account.

Any queries, please do not hesitate to reach out.

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Disclaimer: While all reasonable care has been taken in the preparation of this information, Brindabella Capital take no responsibility for any actions taken based on information contained herein or for any errors or omissions. Interested parties should seek independent advice prior to acting on any information presented.

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Trading on forex markets carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading on forex markets may not be suitable for all investors, so please ensure that you fully understand the risks involved and seek independent advice if necessary.