real talk NOW that stop & limit orders gone from US Forex trading 7/31/09...wow...this is huge...forget the other NFA deal about FIFO orders...that effects like 3% of traders...how about real talk about no more stop or limit orders being allowed for US forex traders trading from US froex accounts by July 31, 2009.. this is HUGE... so, say I go long EUR/USD at 1.4300...okay how do I protect now?...I can place no auto stop loss order!!!...and can place no auto profit to exit order...please explain experts...we all need to know now!!...oh yea, forget the moving to a non US Forex trading account...thanks for the insight experts... is the NFA saying I have to literally sit at the computer to trade in and protect my position and exit?...explanations needed...now!
You're an idiot. This has already been discussed and debunked in a thread you yourself just referenced in ANOTHER thread. Stop the chicken little shit.
Well I don't know how NFA and US brokers are doing it but it's been like this since '96 for quite a few UK marketmakers..... In your example you Buy at 1.4300, so to close all/part of the trade you need to Sell, right? So let's say you want a Stop Loss at 1.4250 and a Take Profit at 1.4400 you set an OCO (One Cancels Other) order to Sell at 1.4250 and 1.4400. When either price gets hit it triggers one order to Sell and cancels the other order. It's no biggie you're just Buying and Selling as normal, that's all your Take Profit and Stop Loss orders were anyway. From what I've read there are all sorts of other contingent orders being planned, to allow for flexibility. I think some shops like IBFX have confused the issue by saying you can't place a Buy and Sell order on the same pair, which was their interpretation of the 'hedging' rule.
I've never found it a problem to be honest, I just hit Buy or Sell, at the end of the trade it works out the same in dollar terms no matter how many times I've added or taken away from an overall position. I guess psychologically it makes a difference to some people to see account balance going up, but it doesn't affect NAV. I can't really see the point of the change or what the benefits would be, I guess it's all linked to the 'hedging' rule.
So, can you still place limits and stops in forex? Can you provide a link to ruling or information please, thanks.