Brexit

Learn how you could trade the market volatility caused by Brexit - and hedge your portfolio and exposure to sterling- with the world's No.1 CFD provider.1

Tips for trading Brexit

  • Set price-change alerts to notify you of significant movements
  • Cap your maximum risk by placing guaranteed stops on your positions
  • Consider hedging your portfolio with GBP exposure or other asset classes
  • Be ready to go long or short whenever opportunities arise, even at the weekend

Why trade Brexit with IG?

What is Brexit and what opportunities does it offer traders?

A simple Brexit definition is that it is a contraction of ‘British exit’, and it is a word used to define the United Kingdom’s departure from the EU. So far, the withdrawal process has caused widespread market uncertainty, which in turn has created opportunities for profit. With CFDs, you can speculate on markets rising as well as falling – meaning you have a wider scope to take advantage of the Brexit volatility.

Markets to watch during Brexit

You can trade on any Brexit news or developments by trading financial markets such as shares, forex pairs and indices. Many of these assets will be highly sensitive to the outcome of negotiations during the transition period, with the FTSE 100 UK stocks, GBP/USD and gold all likely to experience some movement.

CFDs enable you to profit from markets that are falling as well as rising, giving you plenty of opportunity to capitalise on volatility without ever having to take ownership of the underlying asset.

How will Brexit affect GBP?

How Brexit affects GBP will depend on the state of negotiations during the transition period, which ends on 31 December 2020. The UK will attempt to ‘roll over’ the existing free trade deals that are in place between the EU and other countries, such as Canada. It also has the task of negotiating a new trade deal with the EU, which will take effect once the transition period ends.

The UK will remain a member of the EU customs union during the transition period – so GBP could behave much in the same way as it has since the 2016 referendum. This means the pound will likely remain volatile, especially given the possibility of new trade deals with the US and other leading global powers.
               
                   

Use our platform tools to stay ahead

Open an account now


  • Fast execution on a huge range of markets
  • Enjoy flexible access to more than 17,000 global markets, with reliable execution
  • Deal seamlessly, wherever you are
  • Trade on the move with our natively designed, award-winning trading app
  • Feel secure with a trusted provider
  • With 45 years of experience, we’re proud to offer a truly market-leading service
               

You might be interested in…