The margin requirements for Japanese retail trading accounts will be reduced from 100:1 to 50:1 as of today. Those trading accounts which cannot meet these new requirements will have their open positions cut at 00:00 GMT.
Whilst we don’t believe that there will be any major impact as everybody has had plenty of warning, the risk still exists that many positions will have to be cut. As retail traders are generally long USD/JPY and AUD/JPY, both these pairs might come under some selling pressure.
Unlikely, but something to bear in mind nevertheless.