Article 21 Volatility of the relevant markets(Article 57(3)(d)) of Directive 2014/65/EU)

After having applied the factors referred to in Articles 16 to 20 which are relevant to set the position limit for each contract in commodity derivatives referred to in regulation 16 of the Financial Services and Markets Act 2000 (Markets in Financial Instruments) Regulations 2017, the competent authority shall further adjust that position limit where the following conditions are met:

1. (a)

   there is excessive volatility in the price of commodity derivative or in the underlying commodity;

2. (b)

   a further adjustment of the position limit would effectively reduce the excessive volatility in the price of that commodity derivative or in the underlying commodity.