Will the FOREX market ever be regulated to the point where the average individual trader will no longer be able to continue trading?
I know the US mandated decrease of leverage has hurt a lot of traders. Will it ever get to the point of complete demolition of trading as we know it?
Personally, I am really fearful of this as I plan on becoming a full-time trader and make a living off of it soon.
Will we ever have to go to our beloved Forex’s funeral?
I think brokers will be happy to continue taking peoples money. As long as most fx traders are losing money (which they are), I dont see any reason for it to end.
On the other hand, if you are looking to become a full time fx trader, it’s smart to look into other things to trade as well…just incase.
The brokers definitely won’t want anything to change! But will our government or other institutions/organizations ever become a threat to trading from a regulation standpoint? Will they ever do anything to impair the abilities we have right now to trade…such as 1.5 to 1 leverage. Or even a tax for forex traders?
As long as there’s a free market, there will be the opportunity to trade on Forex.
We little folk make such a small dent in the overall Forex market that we’re really of no consequence.
As Petefader said, the brokers will fight for our right to trade. Let alone the fact that it’s ALL capital gains taxable. The guv wants their slice of that.
Fear not, it’s not going away soon.
Forex trading has been and always will be around.
Plus regulation for the most part should be a good thing, it will keep the brokers honest (well for the most part). So you need a little more funds to trade, no big deal you shouldn’t need to use 500+ to 1 leverage anyway.
If regulations are such a big deal and/or you need a larger leverage to trade just open an account with an overseas broker.
Also, forex gains are taxable for most states. I suggest you look into the tax laws for where you live before you have the taxman looking for you.
Just my 2 cents…
Hmmm… I think an [B]increase[/B] in leverage has hurt more traders and has caused quite a few of them to no longer be able to trade
The regulation that FOREX is going through now, is no more than what we futures traders have been experiencing for the last 20 years or more.
Regulation should be considered as a benefit for the traders not the other way around!
I think that FOREX and commodity futures will be equally regulated in the future, therefore you might want to look at MINI futures also, if you want to start as a full time trader.
Although, if you consider the “high” margin requirement as a problem, you might want to reconsider, maybe trading is not for you anyway?
Also remember, if you deal with one of those forex brokers who are not regulated, then there will be no security for your money.
The best you can do for your money is to place them with a regulated broker in a segregated account!
Regards
Marcell
Margin is the least of my worries…what I am most worried about is winning so much that I force the Forex markets to shutdown! 
I concur. The [B]Increase[/B] in leverage has to be the top reason why most traders failed. I can’t see the logic that decreasing leverage actually hurt traders except for those clueless traders moaning over loss of their “potential profits”. I trade with no leverage at all.
I like that, that is the right attitude!
No Way … Forex never ends… & Listen, Making a living off it is not an easy task…It looks easy but its very hard to be a winner at the end…
It looks like Forex is growing so don't worry, as you know Forex 10 years ago was for riches, governments, banks and that elite group, now everybody can join, so you should be better happy than worried.
picture took from fx360.com/commentary/kathy/2531/top-5-forex-events-of-the-decade.aspx?num=1261798789734
fx will never be over. we don’t make up a lot of the market, (10-15% of the total market is retail) but i think the US is just cracking down. no other country is because they actually want to move forward and stay ahead. they’ve been trading currency for much longer than the US and it’s evident by the amount of non-us traders in forex i see are having more success than us forex traders.
I’m not scared. i just won’t trade with NFA brokers that’s all. They wanna be 10 yrs behind in retail fx, let 'em be! trade with the banks and call it good. brokers only have one thing going for themselves as far as making money goes, and that’s having traders. banks are who they are and we know their evils but brokers may have many more hidden agendas given the fact they don’t house bank accounts for normal people who just have a saving and checking accounts and the whole lot.
they don’t call em brokers for nothing! I’m just saying…
Forex will never end, ending the currency market will be like saying closing down stock exchanges and banning shares. Forex exists to facilitate international trades, where corporations exchanges currencies for the purpose of doing business in foreign countries, likewise for tourists exchanging their money for foreign cash to spend on during their holidays. I think it’s ridiculous even to think about closing this market.