Things to be aware of in the U.S. presidential election

Geko is here.

From November 5, the U.S. presidential election voting and counting began.

There are reports that it seems to be a close race, so it may take a certain period of time before the results are known.

We don’t know which side will win, but in any case it seems there will be some impact on the foreign exchange market.

Possible impacts on the FX market include:

• Lower volatility
• Occasional rapid rate changes
• Significant widening of spreads
• Significant slippage
• Orders becoming harder to fill
• Significant slippage of stop-loss prices

This is what can be expected.

In such an environment that is different from usual, technical indicators may become less effective, and automated trading systems (EAs) could also be affected.

Considering the possibility of margin calls due to insufficient funds, it might be wise to decide whether to run or stop the EAs with that in mind.