First and formost, the regulator is called a regulator for a reason ! Second, The regulator's job is *both* protection and education. Ask anyone who works in the financial sector about CPD (and why they need to do it) and authorisations (and why they need them). The problem is, educating/authorising all the people in the financial sector is "easy" because the regulator can regulate for it, and then the various firms and their compliance departments can take care of ensuring the education happens. If you went down the educating/authorising route for individual investors, then the regulator would need to take on a lot of the work themselves - or assure themselves of the credentials and ongoing quality of third-party training providers (because they would obviously need to ensure the training was independent and impartial). The problem is the regulator only employs so many people, and those people already have a big workload.
Trading spot in the 90's ..... (Watch out for the awesome pencil twiddling skills from the man in Hong Kong !!)
It was new market for that time and traders only was starting to poke in. Today too many bucketshops and HFT systems which considerably complicates understanding price action, etc.
This is what I am talking about. https://www.elitetrader.com/et/threads/can-a-spread-widen-to-200-pips.304604/
alright 777, I have been around the blocks. The two main advantages you have over the larger market participants are: (i) you dont have to trade at any given time and can be very selective. MMs and banks generally have to trade. (ii) you are trading such small size that you are able to secure good terms on fills and of course your trades are not noticed by the market. The FX market has evolved in such a way that it offers very good terms for the retail traders. For example IB & LMAX offer superb execution for retail traders. Those of us in the UK also have access to spread bet dealer based markets. Retail traders have never had it so good in terms of execution. Of course most retail traders will lose as trading is essentially a competition. The reason for this is for another discussion. You will see all sorts of sports and game analogies on forums. The way I think about the markets and the analogy I like to use is a poker ring game. Everyone sits down around a table with different size stacks. As the retail trader you rock up with your short stack against big stack pros. GL
trust me thats horsecrap. You can get retail trades up to 5m and higher executed superbly at IB, LMAX, Duka. Futures FX liquidity is thin for a reason.
Aaah, you say that but .... Your typical B-Book over-leveraged retail looser will be thinking they "have to trade" and that if they haven't got a trade on, they're not trading. The luxury of time is a wonderful tool in the markets, and more people need to learn that.
This forum is going to the pitts to keep sponsors happy with uselless forex threads.It is wasting all the real traders' time.
not having to trade at any given time is an advantage over some of the larger participants. Yes losing retail traders will typically over trade, go off plan and become the markets emotional bitch. GL.
I've been trading through Oanda for probably 7 years+ and never once seen anything like that. Just because 1 broker is POSSIBLY screwing a customer doesn't mean that's common practice. Do you have any experience trading spot or just regurgitating someone else's uninformed information?