FXCM to Get Rid of Stops!
The following is from FXCM:
How are FXCM clients affected?
The result is that forex traders will no longer have the ability to place stop-loss or limit orders. Nor will traders be able to modify or close trades from the 'Open Positions" window. This major new rule will go into effect after July 31, 2009. Therefore, any existing stop-loss and limit orders will be removed from FXCM LLC accounts after July 31.
This means, your best bet is to start closing orders near the end of July and wait until this update rolls over. FXCM is again offering clients the chance to transfer their accounts to FXCM-UK to escape the regulation. I am personally starting to consider that option.
FXCM states that they are instituting a new type of order that should replace stops and limits called OCO.
This is all very interesting. Next week I might expect the headline “Government to regulate breathing”.
Knowing that most “retail traders” loose their funds, given the amount of information, education, online courses, it seems that people start to improve their skills and start to make some money.
now, adding all those tools – hedging, stop loss/take profits – to the trading platforms, gives the traders better abilities to trade successfully. Talking with a broker the other day, that wasn’t giving “trailing” to their clients, i asked him why? he said, we would reduce our revenues by 30%.
It seems that the NFA is influenced by FXCM’s needs and greed….