Stop Loss no longer allowed? NFA

[Cdawg]

Having your funds offshore can be benificial aside from not being governed by the CTFC and NFA.. how about not paying tax on your earnings?? Something to think about

[akeakamai]

my US GFT will take your 2nd entry and average it into the 1st entry. The result is a single position with the total size and average price of both entries.

I think it bypasses the FIFO rule because essentially both entries have been made homogenous and deciding which should be closed first is pointless because your whole position is averaged at one price.

If you're not used to it, you might find it annoying. But now that I've been using it for awhile, I think I'd prefer it over separate positions. By the way, I don't have to exit the whole position at one time, I can sell-off pieces of that position at various prices no problem. And if it's a huge problem, you can always just mark your entries with a horz. line

[tymen1]

Originally Posted by Clint

Hey, Talon

You have another option. You can take your forex business off-shore --- to the U.K., Switzerland, or even Australia.

Yep!!

I checked with my broker, GFT here where I live in Australia.

None of this affects me at all.

Yay!!

[tymen1]

Originally Posted by akeakamai

my US GFT will take your 2nd entry and average it into the 1st entry. The result is a single position with the total size and average price of both entries.

I think it bypasses the FIFO rule because essentially both entries have been made homogenous and deciding which should be closed first is pointless because your whole position is averaged at one price.

Excellent point!!

The averaging has never been a problem to me - I have even advocated it in my threads!!

[tymen1]

If some of you find the new rules to be a real problem, then I can link you up with GFT thro Jay Pace of Kinetic Securities in Sydney, Australia.

You get the demo indefinitely for starters!!

[rcornel]

Cdawg- I've Always Been Curious About That Question. What's The Tax % On Earnings On Investments? Are There Any? Does It Apply To A "Non-Regulated"/ Non-Centralized Market Like Forex? Also If I Use Off-Shore Brokers Do The U.S. Taxes Apply To My Profits? Lastly, If I'm A Full Time Student Or My Official Job Title Is "Un-Employed" Can I Still Be Taxed? Totally Appreciate You Sharing Your Knowledge.

[futureBLESS]

I don't want to get into any kind of political discussion here. This is not the time or place. But I thought I'd share my two pips.

After our economic meltdown, everyone agreed that we needed some kind of regulation on Wall Street. Well here it is, and though I don't agree with restricting small time traders like me. Traders who don't hedge or open more than one position on the same currrency. I do agree that larger institutions should have to abide by these regulations.

However I do agree that FXCM should follow suite like GFT and still offer a Stop Loss-like function instead of making the trader do some complicated "One cancels other"

[TalonD]

I dont think these new rules will effect me much because I'm starting out small, with one micro lot at a time. but I don't want to trade without some kind of stop loss.

so if I'm a U.S. citizen living in the U.S. I can still go with a broker that is not based in the U.S. ? Which ones would you all recommend? Tymen, you recommend GFT? I'll have to check them out. What are some other good ones?

I'd like to hear more about the tax issue also. Although it will be quite some time before I have to start worrying about that.

[rtv2]

Where does your signal feed come from if you go off shore.

For instance, if you are a US FXCM customer and you transfer to FXCM UK does your signal feed still originate in the US or does it stay with your hosting platform?

Also if you go with GFT Austrailia does your signal feed come from GFT US or is it an Austrailian Feed?

[wrtm_19]

Originally Posted by tymen1

If some of you find the new rules to be a real problem, then I can link you up with GFT thro Jay Pace of Kinetic Securities in Sydney, Australia.

You get the demo indefinitely for starters!!

It didn't affect to us US Customers either. Nothing has changed in Gft USA