OANDA Japan to Hike Margin Rates for XAG/USD Amid High Volatility
OANDA Japan Inc has announced new trading restrictions for silver trading. It came as volatility in the precious metals market rises continuesly. The broker will increase margin requirements and reduce position limits for XAG/USD. The steps are necessary to protect client assets and maintain trading safety.
Why OANDA Japan is Making These Changes
According to OANDA Japan, silver (XAG/USD) has been experiencing extremely volatile price movements. Sudden price swings, low liquidity, and rapidly widening spreads have increased trading risks. At the same time, trading and funding costs with counterparties have risen sharply. It has prompted the broker to revise its risk controls.
Margin Rate Increase for XAG/USD
OANDA Japan will significantly increase the margin rate for silver trading.
- Previous margin rate: 5%
- New margin rate: 20%
The revised margin rate will come into effect at market open on February 2, 2026. It will raise the maintenance margin for existing positions and the required margin for new trades.
Reduction in Maximum Trading Size
The broker is also reducing the maximum order size per trade for XAG/USD.
- Previous maximum order size: 50,000 units (10 lots)
- New maximum order size: 25,000 units (5 lots)
It takes effect on January 29, 2026.
Lower Maximum Open Position Limit
OANDA Japan is cutting the maximum open position allowed on one side of a buy or sell transaction.
- Previous maximum open position: 100,000 units (20 lots)
- New maximum open position: 25,000 units (5 lots)
It will also apply from January 29, 2026.
Risk of Forced Liquidation
The higher margin requirement may trigger forced liquidations when markets open on February 2, 2026. Accounts with insufficient equity could face stop-outs due to the increased maintenance margin. OANDA Japan has advised clients to either add funds or reduce their positions in advance.
Possibility of Further Changes
OANDA Japan noted that margin rates and funding costs for precious metal CFDs, including XAG/USD and XAU/USD, may be adjusted without notice if market conditions worsen. The broker also stated that it may temporarily suspend new trading in commodity CFDs, particularly silver, to safeguard client capital during extreme market stress.
About OANDA
OANDA offers multi-asset trading services for forex and CFD trading. They provide multiple currency pairs, commodities, and indices. OANDA connects advanced trading technology with transparent pricing and customer-focused service. It secured approvals for its new European subsidiary based in Malta, named ‘OANDA Europe Markets’ (OEM). OANDA wants to ensure compliance with regional regulatory frameworks.
Wrapping Up
The latest measures show the growing risks in silver trading driven by sharp volatility and low liquidity. Traders holding or planning to trade XAG/USD with OANDA Japan need to closely monitor margin requirements and position limits.
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