Offshore Brokers... Solution to CFTC

Does anyone know anything about this broker? Other than they are in Finland, that's about all I know.
I'm one of the second class US residents that was kicked out of Go Markets, and is looking for another place to do business.

Check out Donnaforex's forum under brokers. There's a big discussion of them and Nord there. You might also check out some of the Australian brokers other than Go. I am partial to Australian brokers, in part, because of the segregated accounts you can't get in the US. Commingling funds with a forex broker gives me heartburn in spades. I was a Go refugee also. Some australian brokers stopped accepting new business from US residents on October 18th, but some are still taking applications.

Also, one detail I've just started noticing is the operative variable is US residency, not citizenship. If things get to be really sticky, you can just leave the US. Not easy, but easier than changing citizenship. I can get a permanent resident visa in Ecuador, for example by getting my medical diploma, and possibly board certificate translated officially. Some might not leave the country on this basis, but I earn my living trading forex since I quit practicing medicine a year ago. A decent, honest, glitch-free broker is necessary to my livelihood and NFA/CFTC US-based brokers simply do not qualify. Go would do business with me if I lived in Quito or Cuenca & could come up with a bank statement documenting this. I don't even think I need to put my cats in quarantine for admission to Ecuador.

Regarding leverage, higher leverage can make things safer depending on how you use it. If you have $100K in an account at 200:1 and have another $100K sitting safely away in a checking account for a 5-sigma event (remember, these are off-exchange derivatives and long-term capital management had some of the best & brightest around) that's an inherently safer way of doing business than $200K sitting in an account at 50:1. And $200K sitting in a US broker account at FXCM commingled with their operating funds at 50:1 gives me heartburn, angina, and a migraine simultaneously.

I opened a live account with them. It is only two days of trading with FinFx. So far all is good. Very good spread, no disconnection. I analyzed their data feed and found no signals of low liquidity or stop hunting (liquidity is provided by Integral, so it should be first class).

UFX bank (propriotary platform up to 200:1) is ok. i didnt really like the platform. it reminds me of a kiddie platform, but then i am used to fxsol which i was with for 3 years. i just started a demo with MIG BANK (MT4 with 500:1). after a week of research those are the only 2 i will consider at this time. probably move my money to MIG but the customer service is class A at UFX bank. sometimes too helpful. ask for mike there.

Who thinks this legislation is really about stock market industry in America lobbying washington because they are struggling to stay afloat? Because some people are making way more trading forex?

This is not really the tread for it but I will bet my last dollar that it’s the Futures lobbyist work. They have lost a lot (and I mean a lot) of trader to the foreign exchange market.

JD

Could anyone tell me if there is any laws restricting US residence from seeking off shore brokers?
I have attached the recent CFTC laws but I cant find anything restricting me from opening an account with an offshore broker which is not regulated by the NFA.

FinFX? How would you compare them to say fxopen?

Never used fxopen.

Can someone explain the rational behind the FIFO rule? I can deal with low leverage, but why prohibiting traders to close orders in any order? Why closing order B before A is a bad thing?

with fxopen now, decent.

never understood that myself.

That is a very good question. I am glad, that I am from Europe and don't have to deal with such restrictions.

I have asked about FXPRIMUS in another thread that I started, but it seems, that nobody is trading with them? Any reviews or comments?

I am looking for an ECN forex broker with MT4 support and without restrictions. FXPRIMUS sounds interesting, but I would like to have some feedback before I open an account there.

Not sure, but most traders ive come across dont undertsnad that there really is no difference between a realized loss and a floating loss. Let's say i have a $20,000 account with 2 positions open, long EURUSD, one lot long at 1.4000 and one lot long at 1.3000 and the market is now trading at 1.3001. This means one position has a floating p/l of +$10 and the other a loss of -$9990. Most novice traders will close their floating profit and take the $10 win, so they can see a balance of $20,010 even though their equity is only $10,020. They will let the other position with a loss keep floating down until they get margined called.

With Fifo, assuming the position opened at 1.4000 was opened first, the trader would be forced to close that position first, and therefore realize their loss and not have the emotional difficult of having to realize the loss as it grows and grows. Again, im not sure if this is the reason NFA made the FIFO rule, but it makes sense to me for why it would help novice traders.

A lot of brokers, and certianly in a lot of other markets, i.e. on exchange futures, your positions are netted anyways, i.e. in the example above you would see a 2 lot position of EURUSD long at 1.3500, and you are not closing specific trades, but rather offsetting exposure, meaning if you wanted to decrease your exposure from 2 lots to 1 lot, you would not close either the trade at 1.3000 or 1.4000, but rather you would sell one lot at whatever price, and decraese the size of your overall positions cost averaged at 1.3500.

I hate gov interevention more than anyone, but ive never really understoon why anyone would care about the fifo rule.