2016-06-23 · GBP/USD
Brexit Night
The UK referendum result
MarketGBP/USD
Biggest move-11.1%
Extreme at (UTC)04:00
Difficulty★★★★★
What happened
On the night of 23 June 2016 the UK voted to leave the EU. Polls had pointed to "Remain", so the pound was priced for the wrong outcome.
As results came in from Sunderland and Newcastle, GBP/USD fell more than 10%: its biggest one-day drop in decades.
How to survive a day like this
- Check the economic calendar and the news before you trade: these days were announced or brewing for hours.
- Reduce your risk: on extreme days, 0.5% per trade is plenty, because stops can slip far beyond where you placed them.
- Do not fight the first move. The first candles of a shock set the direction for the rest of the session more often than not.