What are the consequences if I breach a rule on OriginFx?

4 min. readlast update: 10.31.2024

OriginFx categorises rule breaches into two types: soft breaches and hard breaches.

Soft breaches may result in a 24-hour suspension, deduction of trade profits, and/or invalidation of trades. Multiple soft breaches can lead to a hard breach. 

Examples include:

  • 1. Breach Classification and Associated Violations

    Hard Breach Violations:

    • Drawdown Violations:

      • Daily Drawdown Limit: 5%

      • Max Drawdown Overall: 10%

      • Exceeding these limits results in immediate termination (hard breach).

    Soft Breach Violations (Minor Severity):

    • Violations categorized as minor are subject to escalating warnings and temporary suspensions before reaching a hard breach.

     


     

    2. News Trading Violations

    • Trading Restrictions:

      • 1st Offense: Warning (10 minutes)

      • 2nd Offense: Temporary Suspension (24 hours)

      • 3rd Offense: Hard Suspension (48 hours)

      • 4th Offense: Hard breach, leading to account cancellation.

      • Trading within 10 minutes before or after a news release is prohibited.

      • Breaches will be penalized as follows:

     


     

    3. Hedging Violations

    • Tolerance Level: 1% margin

      • 1st Offense: Warning with profits removed, trades closed after 1 minute

      • 2nd Offense: Warning with profits removed, trades closed after 10 minutes

      • 3rd Offense: Temporary suspension (24 hours) with profits removed, trades closed

      • 4th Offense: Hard Suspension (48 hours) with profits removed, trades closed

      • 5th Offense: Hard breach, leading to account cancellation.

      • Penalties include floating trade closures and profit removal, escalating as follows:

     


     

    4. Tick Scalping Violations

    • Scalping Limitations:

      • 1st Violation: Soft suspension for 24 hours

      • 2nd Violation: Hard breach leading to account cancellation.

      • Maximum of 8 positions (buy/sell) within a 120-second window.

      • Breach escalations:

     


     

    5. Copy Trading Violations

    • Trade Copying Limit:

      • 1st Violation: Temporary suspension (24 hours)

      • 2nd Violation: Hard breach and account cancellation.

      • Maximum of 50% of total trades may be copy-traded.

 

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