Let's unite to OPPOSE 10:1

Beginner Questions
1

The U.S. Commodity Futures Trading Commission (CFTC) recently proposed broad regulatory changes that include reducing the current leverage available to forex traders from 100:1 to 10:1.

So far, over 7,000 traders have expressed their strong opposition to the proposed leverage change.

[B]Your opinion matters. The time to act is now! [/B]

The close for comments is Monday, March 22, 2010. Simply email your comments directly to the CFTC at: <[email protected]> and include ‘Regulation of Retail Forex’ in the subject line of your message.

You can also submit your comments by any of the following methods:
Fax: (202) 418-5521
Mail: David Stawick, Secretary
Commodity Futures Trading Commission
1155 21st Street, N.W.,
Washington, DC 20581
Courier: Use the same as mail above.

HOW WOULD THE PROPOSED CHANGE AFFECT YOU?

Max leverage under current regulations
100:1 leverage (one percent)
1 lot (100,000)
Margin requirement: $1,000

Maximum leverage under proposed changes
10:1 leverage (10 percent)
1 lot (100,000)
Margin requirement: $10,000

I am a below-average-incomed person who trades carefully with minimal capital, therefore this rule will definitely impact myself as I need to fork out more capital.
Means, only well-to-do people can afford to learn forex trading, but not everyone.

I hope to bring this to everyone’s attention. Ideally, everyone feedbacks to <[email protected]> to oppose 10:1 leverage. (for our further generation to come…)

2

Maybe you should move your account, Oanda Singapore are a very good option.

3

The problem is:
If your address is the USA they will not take you anymore. New rules, it is right on there (brokers) websites, “quote: if you are a US resident we are sorry, you can NOT open a new account”. It was ok last year.
I did look for a different broker in various countries. :(:frowning:
If anybody could tell a broker abroad that takes US residents, post it.

4

LiteForex does, I have been using them.

5

Are those requirements really going to affect ordinary traders ? They are talking about 100k lots, that is a big lot.
If I understand it correctly trading 100k lots at 100:1 leverage would mean 1 pip = $100
Not many ordinary traders could afford that level of risk