Operators' intentions read by 
My feelings:
We know there are big and small traders in the market.The big traders can sustain any amount of pressure on them in volatile forex market.they can use hedging with other instrument by speding more money,they can make one big dump or pump and change the market sentiments and get out of their positions with profit.Small traders need to use the broker terminals for trading.brokers donot offer the facility for the small traders to place higher level buy market order or lower level sell market order to make quick moves in the market- because they know when all traders join hand and press the panic button the big players may not be able to trade against them.
Now in US, instead of facilitating the small traders to have the scope of earning some money from the market ,the restrictions are placed like FIFO,no hedging facility ,reduced leverage etc - the new regulations can only eleminate small traders from the market in restricted facilities. Many talk about migration of traders to other country platforms and the increase in fradulent activities in unregulated conditions.
My view - if any one is serious in staying in the business for long term will try to establish credibility and may use this condition as an opportunity.to my knowledge for the past 15 years in fx,many US NFA regulated conpanies were forced to close and the clients have lost the money or locked the money with NFA and expecting instalment payments- no response to their communications from NFA for several years.
but the brokers of other countries are being looked down as they are not regulated,but when they follow fair business,they are still in the market and many are offerring fair executions.
Ultimately the small US and other country traders will understand that US Brokers does not equate to fair deal and honesty.That comes from the heart of the brokers whether they are regulated or not,in US or in other countries.
Secondly every market needs - market facilitators - in forex the banks to place either way calls to float the market ( liquidity providers).But some big players sit behind the bank and make irrational market moves even against the fundaments to trap the traders and earn massive money.Why not the regulators watch the order follow to the banks and find the intentions and trace the influential people who are really exploiting the market to the extend of bring recesions in various countries.Still, after 2008 episode of market meltdown,no meaningful finding was made to fix the unethical people who were behind the crime.
instead of catching the criminals, the watch Dogs are trying to regulate the traders and brokers with stringent rules day by day.
A normal speculatory trader enters in to market thinking that he can earn additional income besides his primary income out of needs and not out of surplus.there is exploitation in the market - he learns about it and try to earn slowly after some costly mistakes.-so education is needed like learning to drive a car before driving a vehicle on road.out of experience he learns to negotiate well and drive at ease.but still he wants to risk less and earn more for his needs.Many US people are doing full time trading out of necessity -the reasons unknown.I have come accross contacts telling that they are depositing the equity drawn out from the credit card,out of pension etc.One can understand how much of pressure such people will have while trading.I have witnessed they are keeping awake for more than 18 hrs a day- they are hard working but not getting suitable jobs and income.When such people trade with 1:10 leverage they may not be even able to take positions ,if taken, they may not be able to withstand 30-40 pips move of the market against.They cannot hedge the risk also.Besides, FIFO condition when hedging was available,they want to close the hedging when the market moves in their favor only their first taken position will be closed.The real hurdle for such traders.
probably tightening using regulations might be an indirect measure to motivate the people to go in for job and earn their bread rather than speculation.
these are my personal views come out as my own expressions, and out of concern for small traders in US and other places .keeping all my personal views in mind I was trying to help the small traders using this blog as medium.Now I have spoken out loundly my feelings.
it is not to harm any one or insult any one- these are the events I have faced and experienced when intereacted with innumerable small traders over past 15 years.
those who want to express their concerns and feelings can just send email to NFA and more details are in Francesc’s Weblog
http://blogs.fxstreet.com/francesc/2010/01/15/looby-against-cftc/
Regards
Dr.Sivaraman
So what are the alternatives and options for US traders? I am with MB Trading and have been happy, with 100:1 leverage, but they don’t allow hedging. Where can I put $30,000 US where I can feel safe outside of the US?
Hi Pico Safwat Piptease
here is my analysis for sharing
http://clip2net.com/page/m0/3433644
Hi juan,
what’s the basis of the bearish channel? Not many highs and lows touch your channel edges!
Hi Saswata Banerjee,
This is the channel of the prevailing short term trend and is based on Harmonics. This chart is very simplyfied. I can post clips to see how it develops if you want.
Piptease,
I am looking for retrace to 38.2 to 50% and may be to channel bottom if its any help
Raj
http://clip2net.com/page/m0/3434017
Sean ,
Quite a number of brokers have outside US operations but I am not sure being a US citizen what is the law on Trading and keeping money outside country. You need to get the legals clear first as per US law.
Than you have quite big operators abroad which are very well regulated and safe including names like Deutsche Bank , HSBC, Barklays etc..
Evening Raj, Juan
Thanks for the charts - def helpful.
I agree retrace to the levels you mentioned Raj, just pondering whether we’ll reach there tonight or one for Monday?
cheers
Guys,
I will reply to you soon after I pickup my Takeaway dinner
Cheers
nice one, sounds like my sort of classy evening!
cheers
Guys I am back.
NO those levels will not be reached today
Understand the market Physcology first:
The players initiated sell from the high,
created fear by showing lower lows and lower highs they got the London fix at 16:30gmt at the days low which is low of 14th December(months low) at 61.8% from the top 1.6350.
The hedges/players have left the market they will not buy today fear of weekend holdings.The players got the bounce move
from the lows and traders have carried on(retrace of 50% of the down wave)to current levels.
the price will back and fill till settlement time 21:30.
the platform providers may move price by widening the spreads to force the closers at a loss.
If the dollar index is influence by equity move higher close then gbp may move up or down but not lower then the fix low(16:30gmt).
and lastly big volume will not enter the market now to hold over the weekend and holiday in US because trader are there to see the move and buy.
My thoughts
nice weekend
Piptease,
Have a look at this:
http://clip2net.com/page/m0/3436477
Piptease,
Have look at this weighting:
http://clip2net.com/page/m0/3436589
Is it OK to post links now? I was told not to when I posted links to charts.
Dear Dr.Sivaraman and traders,
can you say which are the trading platforms that don’t allow hedging or other facilities in the US?
Thank you!
Hi Raj
Sensible thoughts and well informed as well as all the useful links and analysis thanks for sharing them.
I thought I would share this chart from the fxstreet site from FastBrokersFX http://mediaserver.fxstreet.com/Reports/dc0488cc-cbf5-40f4-8bf7-c27c659e393d/jan15pound_20100115175419.gif
Am at least holding Cable (with stops above major levels above) with a view to seeing 16130 area early in the week as the next wave down from here.
have a good weekend
Piptease
Aruyo,
its a matter of broker’s rules, not platforms.
MBT e.g. does not allow hedging, either on its Navigator or MT4 platform. Still, it is one of the best brokers, perhaps the first truly ECN one.
thanks jp!
Actually with MB Trading you can still hedge. They allow you to open multiple accounts. This is a very easy process. You can then divide your money between two accounts and take opposite positions in each. I did this with navigator not sure if this is allowed with MT4.
I think its a valid criticism and i am one of them who is trying make a living through forex , this new recommendation or enforcement could kill many .
hi i need to know about trading signals for technical
Thanks for the interesting point of view. I hope this rule won’t pass.