The absurd proposal by the CFTC to limit leverage in forex to 1:10 is causing anger. Here’s how you act to stop it!
The CFTC is beginning to regulate American forex trading. In their initial proposal, there’s an idea to limit leverage to 1:10. High leverage is one of the key characteristics of forex trading. If this proposal is implemented, it will practically kill the American forex industry, as traders will move their business elsewhere.
So, here’s what you can do. I’m quoting the information from a fresh blog post from FXStreet’s CEO, Fransesc Riverola. Thanks Fransesc!
If you disagree with the CFTC proposal to restrict leverage across the board to 10 to 1 leverage, you may submit your comments to
Include “Regulation of Retail Forex” in the subject line of the message and the identification number RIN 3038-AC61 in the body of the message.
Also, with the identification number RIN 3038-AC61, you can submit your comments by any of the
- Fax: (202) 418-5521.
- Mail: Send to David Stawick, Secretary, Commodity Futures Trading Commission, 1155, 21st Street, N.W., Washington, DC 20581.
- Courier: Same as Mail above.
All comments received will be posted without change to http://www.cftc.gov, including any personal information provided.
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- In a poll that I ran in March, the most popular leverage is 1:100.
- In the UK, the max leverage is 1:200.
- A nice analysis by Michael Greenberg on the subject.
- The FXDC (Foreign Exchange Dealers Coalition has also petitioned against this move.