Dislikedfutures brokers CAN trade against their clients. you'll find it in the account contract. Nothing wrong with it, they're taking the same risk by doing that. SIPC doens't cover futures, just equities and we have higher chance of blowing our accounts than worrying about the off chance that a broker goes insolvent..why worry about this? reason forex sucks compare to futures is that your pricing/spread and leverage is broker controlled rather than based on a centralized exchange. Meaning that all players play by different rules depending on where they...Ignored
I feel this market-based self-governing regulatory bodies is designed to catch the big boys or their traders who attain unrealistic returns. They are also designed to catch small retail traders but at the broker compliance level as they are on the hook by CME to prevent malpractices imo. That is why the fines are legit and bigger penalties by regulators just to make a good example out of you for others to avoid going this path. You sign something like "understanding of wash trade regulation" and if you violate this knowingly, you pay a hefty fine or you go to jail. That's how the regulated industry works. With that said, we just never know what shit goes on behind the curtains :-)
Staying in my lane...