Would Forex Brokers restrict traders who win 100% or 300% a year?

Discussion in 'Forex' started by FX trader, Aug 31, 2019.

  1. My question: Is there a forex broker that would really let a trader win 100% or 300% and not limit his account or lower their leverage? Please any guidance will be appreciated

    I trade with Australian regulated Brokers so I can the advantage of high leverage, I live in US but I have dual citizenship and I have another country address that is why I can do this. I trade 50k USD with leverage 1:300.

    So I can say that 250 to 500 USD is easily achievable per day not including Sunday or Friday, at least for my strategy because the market does not move much in these two days. so if ( i know it is a big if) make on average $500x4 days a week = $2000 x 4weeks = 8000 x 11 months = 88000 (I will say 11 months because I excluded many holidays and a personal vacation or whatever)

    Please do not just comment that the strategy would fail or succeed or that, because my question is not about my strategy or your strategy. it is about if you really can make big profits like 100% or 300% a year and would brokers let you continue or will find an excuse to kick you out or not accept you as a trader? or maybe lower your leverage to limit winnings!!

    Is there an honest broker that would really let a trader win this much and not restrict his account? Please any guidance will be appreciated
  2. Real Money

    Real Money

    The real problem with cash FX is that there is not much ability to cross hedge and the spreads are wide. I remember wanting to daytrade the exotics and the spreads were just so prohibitive that I was forced into trading the majors.

    The problem I have with the whole thing is that the market is too one sided. The banks control almost every instrument that can affect the majors. Examples:

    FX Options and Swaps as well as Forwards and rate arbitrage. Eurodollars, STRIPS, and Short term fixed income instruments have HUGE currency risk in them!

    Remember, most of the activity in FX is because people are trying to REDUCE their exposure!

    This means that anybody caught on the wrong side of the latest news is probably not going to have a chance in the near term to wait it out, and take a smaller loss.

    The point is, the FX brokers and market gurus claim that buying and selling in the FX markets is moving the price but in fact it is not true. VERY FEW groups are simply taking FX risk outright.

    The proof is in the spreads. If there was actually genuine price discovery that was a function of buying and selling then the spreads would be much more narrow.

    In my opinion you should trade ASX, NK225, Eurostoxx, FTSE, or U.S. equity index. Cross hedge is VERY useful!
    FX trader likes this.
  3. Metamega


  4. d08


    RDK91 and Nobert like this.
  5. jl1575


    300% a year, Did you read a journal here just a while ago that he posted gaining more than 300% profit within about two months, there was nothing wrong with his broker at all; why would a broker restrict your trades? as long as they can make money on commission fee.
    By the way, if the strategy is making 300% profit a year with 300X leverage, essentially it is only making 1% profit over a year without leverage and that is not a good one. Even passive SP 500 index can average 8% annually without any leverage and without any effort.
    Last edited: Aug 31, 2019
    FX trader likes this.

  6. interesting! but the strategy I am talking about is just regular one it takes 30 mins to hours sometimes. it is not really something that is using any unfair advantage
  7. Actually i am new here, I would like to read that link if you have it. but is not 300% in two months is too risky?

    I actually have no idea what is the passive SP 500 index. and when you say it averages 8% without any leverage so can I have a leverage and invest in it? to increase this 8% to 80% for example?

    otherwise, still the 300% profit is better than 8%!
  8. to answer "why would a broker restrict my trades" i am under the impression that many if not most retail forex brokers take the opposite side of the trade so they are actually losing money when traders make money. Many brokers even big names such as FXCM or others claimed to be not taking the opposite side but for example FXCM was banned from the US because their liquidity provider was actually another company that was just created by FXCM to take the opposite side of the traders and they make money everytime a trader lost their money.

    I am sure this idea is not only with FXCM but it happens with the many other brokers. that is why I thought they would restrict the winning trader account
    MoreLeverage and qlai like this.
  9. traderjo


    You have answered your own question I think,,, a market maker broker would not like one sided trading ( unless he is sometimes hedging his risk with external party bu you never know)
    I am assuming you are capable of making 300% a year in that case and if you dont want this "Broker" conflict" issue consider FX Futures on an exchange in US! you wont get 1:300 leverage though
  10. Hilarious, you are asking whether there is an honest broker while you are being as dishonest as shit? You claimed you are a US resident, hence you are not allowed to trade fx on leverage, but you hide that fact by registering with your other passport with an aussie broker. Perhaps you deserve to be ripped off in the precise same way that you game the system while others who are honest cannot take advantage of the same thing you do. No advice from me for shady individuals who have no moral backbone.

    #10     Aug 31, 2019