There are four main situations of gold TD explosion, the first one is the most common. 1. Liquidation reserve is less than zero and can be divided into two types: individual and legal person. For legal persons, when the available funds are negative, an additional margin notice will be issued (note: this notice is a value-added service). Customers should pay attention to their capital accounts. When the margin is lower than the margin requirement of the gold exchange (10%), the compulsory liquidation will be carried out in due course without further notice.
For individuals, when the available funds are less than or equal to zero, they will be forced to close their positions at the right time. See the contract standards of major banks for details.
2. Being punished by the exchange for compulsory liquidation due to violation of regulations;
3. The compulsory liquidation shall be carried out according to the emergency measures of the Exchange;
4. Other circumstances that should force liquidation.