A referendum on whether Scotland should be an independent country will take place on Thursday 18 September.The run-up to this historic vote has led to large increases in volatility on a wide range of markets, including the FTSE and GBP/USD. While this volatility creates trading opportunities, we would urge all clients to monitor their exposure carefully. This is important due to the increased likelihood of large, and very sudden, price movements.Polling closes at 7am AEST on Friday 19 September and counting is expected to commence in all 32 Scottish local authority areas straight away. An official announcement is expected later in the day on 19 Friday, once all 32 local counts have been verified by the Chief Counting Officer. However, it is very likely that regional centres will announce individual results over the course of the day (Australian time), increasing the likelihood of volatility.
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How to protect your positions
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With the high chance of volatility on a wide range of markets we offer, we would urge you to do at least one of the following:
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Monitor your positions closely•
Place stops on any open positions to help reduce risk•
Deposit extra funds to account for the chance of an adverse move•
Consider reducing exposure to affected markets, or closing positions beforehand
