I don’t take too many trades, but occasionally I build up a longer trade with multiple positions on the same pair and direction. So I put subsequent trades in and find that my stops are all the same! Naturally this is an error in MT4 and I must get it corrected through support. But what I find out, this is part of FIFO rules? And even then, FIFO rules don’t help me. If I want to partially exit a trade, it’s not going to be by trade age. Is someone stupid? Who is making these rules?
Same here. “Longer” is relative, because many people would consider my “longer” ones fairly short, in that they’re only a few hours anyway, but I often add to winning positions.
What - why?! How can you trade like that? One has to be able to enter individual stop-losses with individual trades, and to be able to adjust them during the trade, surely?
Well, you must get it corrected [I]somehow[/I], clearly - and before you put another trade on, surely?
I don’t know … but whatever the reasons and outcome, I urge you not to trade under the circumstances you describe! It’s [I][U]essential[/U][/I] to be able to add to winning positions if you want to, and for each individual trade to have its own adjustable stop-loss and for each to be closed individually if you want to do that. Anything else is unimaginable … :o
Not quite the right kind of forum for that sort of thing, I think … :58:
I was explained that this is part of the FIFO rules, and prevents anything other than FIFO. This is not an error, but the way Forex for US customers is. I didn’t know that until today.
There are ways round it, though. You can have different sub-accounts for the different trades, rather than opening them all within the same account? It would be [U]very[/U] dissatisfactory to have to trade in the way you’ve explained above: for a start, how would you scale out of a position?!
If you’re assuming at the moment that US-resident forex-traders [I]can’t[/I] scale out of positions, then I respectfully advise you to gather further, informed, local opinions - because that definitely isn’t right!
Just throwing this into the mix.
The order in which you get out of trades according to your broker need not be the way you account for those trades in your own records. And you should have your own records!
The bottom line is that FIFO has [I]no impact[/I] on your final profitability. It’s just like “hedge” vs. net accounting. They both add up to the same thing in the end.
I was starting to feel ok with this, until, I put in a new pending trade. This trade was to shorter duration with a shorter SL than the 3 others I had going. Well, since a new trade changes the stop on all trades, it pulled the stop too low on my other trades and closed them out. this rule doesn’t make any sense.
You can avoid this happening by not using trade-linked stops, but rather separate stop orders. They will start offsetting your earliest trade first, but at least they won’t knock you all the way out. As I mentioned above, the final p&l will be the same.
[B]Or, you can opt out of all the stupid leverage/FIFO/hedging rules imposed on U.S. brokers and traders by the CFTC[/B] — by moving your trading to a top-quality offshore broker who is not subject to rules and regulations from the CFTC or their sock-puppet, the NFA.
Unless and until the CFTC is cut down to size, there is no long-term future for forex trading, as we know it, in the U.S. The CFTC hates off-exchange forex trading, and is determined to destroy it.
For 6 years, we’ve been investigating opportunities for U.S. residents to trade through reputable offshore brokers. If you’re not familiar with THIS THREAD, check it out.
And, for starters, check out TRADER’S WAY.
.
I would love to do that. I don’t trade that much, but I had an account with finnex and mbtrading, along with IBFX (wasn’t bad), alpari. Alpari backed out of the US, Finnex shut me down; MBTrading, who I was quite happy with, dropped me off with trade king - who I am now with. It’s not like I haven’t tried to have a good broker, they just keep dumping US customers until there is none left.
****EDIT
Siging up for FinPro. Thank you!