LMAO, you guys are freaking out for nothing. you will see in a few weeks. the only thing you can't do is hedge.
You could be right...I got a few calls today that may just have been trying to prepare me for the worse... I called a few other firms and they didn't percieve anything as a problem. I just found it rather strange that a few of my account managers were suggesting to move to their U.K. variants, along with my clients.
why don't you guys stop guessing and pick up a phone and call your broker or go to any broker chat and ask them, here's what i got from one broker chat, also my broker told me the smae thing by phone, this is only a hedging issue and thats it, see below. Client Services 40: Hello this is Ben J. How can I help? new: hi, i understand the NFA rule on no hedging, but how will the FIFO rule effect me the trader Client Services 40: as you start to close trades, on the same currency pair, they will close first in first out new: how does that work if im using stop loss or take profit Client Services 40: Why don't you tell me what you think fifo is Client Services 40: then we can go from there new: don't realy know, can you explain, there been rumors all over the place new: one of them being we can't put s/l or t/p on our positions Client Services 40: Really its nothing that you need to worry about at this time because as of right now, and this could change, the platform will not be doing FIFO trades new: but what will happen if the FIFO rule apply? Client Services 40: It's not a fifo rule. It's a policy that some brokerages may have to take Client Services 40: the rule is no-hedging new: can you please explain to me how does FIFO works Client Services 40: do you have a minute, this could take a while Client Services 40: ? new: yes i do Client Services 40: Well when the new rule comes out people won't be able to have buys and sells on the same currency at the same time, so we were thinking that the platform would become OCO (One-Cancels-Other) so for example if you had a 1 lot buy open already and you opened a 1 lot sell the it would close the one buy that you had and that would be a way of closing your trade. A FIFO (First-In-First-Out) would be if, for example, you had a 1 lot buy open and then it went positive in your direction so you opened another 1 lot buy and then later opened another 1 lot buy. Then you opened a 1 lot sell it would close that first trade that you opened first Client Services 40: But at this time if you had a buy open the platform wouldn't let you open a sell so at this time the platform is not FIFO or OCO so you really wouldn't have to worry about it new: this is why i love you guys,thank you very much for your time Client Services 40: Did I answer all your questions today? new: good job explaining this to me, and yes you answer all my questions
in other words if i had 3 seprate buy positions and i hit the sell button on that same currency it will close the first buy position i open, this FIFO like my broker told me has nothing to do with your stop loss or take profit you attach to your position you can still have separate positions on the same currency pair and diffrent s/l and t/p on each like before, like this broker told me if your in a buy trade and hit the sell button it won't let you close the buy trade and won't let you hedge, they have disable that function so you would have just hit the close button to close that trade.
I'm not guessing anything... I had more than one account manager call me up and tell me there weren't going to be anymore stop or limit orders... I actually came to look at it on ET because I didn't believe it myself... Combined with them telling me to move my IB to their U.K. variants, it freaked me out... Although when I talked to a few others they didn't see anything as being a problem either... I even called FXCM about a half hour ago and they told me another story... I think it may just have been some early morning chatter that alot of people got their panties in a bunch when they thought their business may slow to a crawl.
you are silly. i know for a fact what FIFO is now that morgandirect and pfgbest explain it to me, don't let these MM broker scare you away, even pfgbest who has 2 retail platform told me the real deal, you wanna put some money where your mouth is, this rule is all about hedging only bro.
the email you got from fxcm is those traders thats want to continue to hedge the trades, and whta they are telling you is you can open a account with there london branch if you want to hedge, you will see many more email like that
Its gonna be like on Oanda or MBTrading. There are stop/limit and stop-limit orders on futures and stock markets - and these markets trade on a fifo-basis since the beginning. Give it a rest.
I didn't read it like that, all I see there apart from new rules on price adjustments is.... "...New Compliance Rule 2-43(b) requires an FDM to offset positions in a customer account on a first-in, first-out basis, thereby prohibiting a trading practice commonly referred to as "hedging."....". Nothing about stops or limits as far as I can see unless I missed it. What's the point of having open long and short positions on the same pair anyway, it's not a hedge. If it's really that important to a strategy then most brokers offer sub accounts. Sorry, I just don't see what the problem is or what the panic is about