CFTC issues final forex exchange market rule

Discussion in 'Forex' started by hippie, Aug 31, 2010.

  1. 50:1 on the majors, I think that's a fair cap.
  2. siki13


    What worries me is this:
    "The agency said it will periodically review these parameters to determine if they need to be adjusted."

    So it seams to me that 50:1 is just temporary solution and it can go
    even lower.
  3. Joman


    "These rules of the road will help protect the American public in the largest area of retail fraud that the CFTC oversees: retail foreign exchange," CFTC Chairman Gary Gensler said in a statement.

    I think this is true, how many 1k accounts have been blown up because of too much leverage ?

    50:1 should be enough andshould help traders to enter the market properly capitalized.

    Anyway, there will always be some foreign broker with 1000:1 leverage ready to open an account for whoever is interested. :)
  4. What about US citizens open accounts with non-US brokers with higher leverage that 50:1 ?
  5. siki13


    Yes thank god for that.
    I was constantly blowing up my 1k accounts and now i feel
    much better.
    I only wish they would banned trading altogether (forex futures stocks) , that would protect me even more.
  6. cstfx


    Curious about this too. With firms like Dukas offering 100:1, do they readjust leverage for US clients or just refuse to deal with them?
  7. Big news, and surprising they went with 50x.
  8. LEAPup


    I'm sure they'll get their 10:1 goal sooner or later... 50:1 is a surprise though considering what they originally targeted.
  9. It's tough to sell leverage under what is offered on the CME. They will lose the spot business offshore just as they have with CFDs.
    #10     Aug 31, 2010