Many industries are controlled by a few powerful entities, and it is great that forex isn’t one of them. What does regulation provide?

According to the complaint, FXCM did not ensure efficient execution to all customers, did not treat everybody equally when making price adjustments and did not investigate suspicious activity in all customers’ accounts.

In January, the forex industry was shocked with a proposal to limit leverage in forex trading to 10:1. Apart from traders’ comments, an IB coalition was formed to tackle proposed rules against Introducing Brokers, we saw also anger from Congressmen, and of course, forex brokers. This had fruits:

• Andrei lays out the third part of series about the “biggest forex scam”. In a related matter, also signal providers may be problematic. If you’re getting alerts, better have something straightforward and simple, that just updates on prices, like this provider of forex SMS alerts.
• Adam Kritzer examines the correlation between US National Debt and the US dollar. It’s not necessarily what you think.
• Macro Man analyzes how China benefits from the moves by the Federal Reserve.
• Michael Greenberg reports that the CFTC Final Regulations are due soon, and brings an interesting analysis about the state of regulation.
• Francesc Riverola also discusses the new regulation that is expected and focuses on changes that the NFA already made after the CFTC audit.
• Casey Stubbs talks about the foundations of forex success.
• Boris Schlossberg asks if M&A activity could push USD/CAD to parity.
• James Chen explains how to use Bollinger BandWidth in forex trading.

That’s it for now. Have a great weekend!

The system

• Adam Kritzer asks where was the SNB in the last moves of the Swiss Franc, especially against the Euro.
• Kathy Lien looks at the implications of Portugal’s credit downgrade – the hay that broke the Euro’s back, and sees long term trouble for the currency.
• Michael Greenberg explains everything about forex affiliate programs. Interesting for anyone in this industry.
• Francesc Riverola reports that the NFA joined the opposition against the CFTC 10:1 leverage proposal.
• Jay Norris discusses why trading is 99% psychological.
• Sophia Smith, on Casey Stubbs’ site, talks about how frequently should you trade, and compares it to getting tipsy from drinking beer.
• James W, at The Forex Articles, provides 10 indicators you can use to identify new trends in forex.

That’s it for now. Have a great weekend!

All the founding members of this coalition are members of the NFA. Regarding permits, they ask to get the same treatment as IB operators in futures or guarantees. They also ask the CFTC to study forex market and to rethink the 10:1 leverage proposal.

• Adam Kritzer writes about optimism in Europe. EUR/USD doesn’t only enjoy the dollar’s weakness, but also strong European recovery.
• Eric deCarbonnel talks about gold reaching the breaking point. Gold has a super strong correlation with forex.
• Mark Thomas, on Casey Stubbs’ blog, in an excellent article titled “One that got away”, discusses trades that you missed, and how to learn from them.
• Larry Greenberg discusses economic recovery in the US, Europe, Japan and Britain, and compares them
• Jay Norris, in an article titled “The Markets Give it, and Take it Away”, discusses changes in market behavior.
• Michael Greenberg reports that the NFA finally admits that funds are flowing out of the US. Here’s my post about coping with the new NFA regulations.

That’s it for now. Have a great weekend!

About two months ago, I wrote about this issue in a post titled Forex Demo Account – A Must for Every Broker.

The last hedge free forex trading week is over. When trading will resume on Monday, August 3rd, the new NFA FIFO regulations will be in effect. I assume that most American traders aren’t aware of the new regulations, and will feel it by themselves when the software changes.