With BUX you can set an Auto-Close order so that an investment is automatically closed when it reaches a certain limit, however, users should be aware that the lower limit of the Auto Close order is not always guaranteed.

 

The reason for this is due to stock prices sometimes jumping to a higher or lower price than the level on which the Auto Close is set. Especially when the market opens for a certain product, it can open at a much higher or lower price than what they closed at the day before.

 

Example: you purchase Tesco and decide to set your Auto Close at -5%. Tesco closes that day at -1% and you are holding your position overnight. The market then opens and the first price after opening for Tesco is at -10%. The position you hold will now be closed at -10% and not the -5% you had set your auto close at, simply because it never hit the exact price at -5%.  

 

Please note that using multipliers can also have a big effect on your auto-close position. For example: If you are using a multiplier of 5 and the product opens at -2% without the multiplier. Your product with the multiplier would open at -10%. Likewise, if you are using a high multiplier (x10 / x20) and the product in the market suddenly drops in value, your auto-close could be executed at a different value than the one set because a decrease of -0.5% becomes in a few seconds - 10% if you are using the x20 multiplier.


If you have any further questions in regards to this, please feel free to contact us via email at BUX Support.