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Does Trump have the legal power to fire Fed Chairman in the first place? One strength of U.S political system is checks and balances on the president's power. Well, this is a strength when a president does stupid things that needs to be checked. It is a weakness when a president wants to do...

Thanks. Good point to note about the interest fees charged by forex brokers for the forex leverage. I don't know exactly how much IB charges for the leverage but I would expect futures which are regulated to have reasonable interest charges for the built-in leverage.

One question to the elitetraders here who are familiar with IB platform. For IB clients who trade equities and forex, wouldn't it be more efficient use of cash to buy forex futures on IB instead of making leveraged fx trades since the latter will use up more available cash, leaving less for...

I'll answer my own question. I think I get it this time. As long as there is sufficient cash for the forex transaction, it will be treated as a currency conversion trade no matter which destination option is chosen. The only difference is that a virtual fx position is created if "IDEALPRO" is...

On the portfolio tab, how does one know whether it is a virtual FX position or a real FX position? Whether it is virtual or real, as long as one uses destination "IDEALPRO", the fx position is created on the portfolio tab of TWS. It can get confusing to a user.

Thanks. I am getting confused by TWS settings. I can do a currency conversion using "IDEALPRO" as well. In fact, I can do currency conversion using both "IDEALPRO" and "FXCONV" options, though one difference is how the transactions reflect on my portfolio tab. So, I don't really know how using...

I've been using Interactive Brokers TWS to do currency conversion. Destination chosen is IDEALPRO. Suppose I want to make a leveraged forex transaction. How do I make a leveraged forex trade on TWS? In the destination options, I see "IDEALPRO and FXCONV". Both are for currency conversion as...

More lessons from Q.

Selected extracts from the article. It was the Turkish lira trade! Were they long Turkish lira all the way down? GF Holdings is not well known in banking and investment circles, and some market participants have expressed surprise that it could be big enough to run up such losses without...

I believe Citi would have asked for collateral before loaning GF the money to play the markets. Don't think Citi is that dumb to make this rookie mistake, although it seems like to be the case based on information available. GF 1776.HK is up >25% since its Oct 18 low. So, it does seem GF is...

Passive investment alternatives to active ones are his competitors. So, he may be biased in saying this.

If Citibank has bad debt with the hedge fund, it means this fund has gone bankrupt like optionsellers. I wonder what is the name of this hedge fund. To lose this amount, I don't think this hedge fund is small.

I am curious which currency pair or pairs traded caused the massive losses.

Seems like when the stock market drops enough, the Fed is pressured to abandon its data-driven approach and be servant to the stock market. Not saying this is bad but it simply shows how powerful the stock market is when it comes to dictating economic policies.

I heard complaints about low stock market volatility in 2017. I heard complaints about high stock market volatility in 2018. I wonder why hedge funds which performed so well during the U.S bear markets from 2000-2002 are under-performing badly in the bull market which started in 2009 and doing...

There are lots of good books that can be borrowed free of charge from the library. Forums such as elitetraders are also good educational resources. You don't have to get into student debt to get an education in stocks trading.

It's a problem when position size gets so big that the broker is tempted to trade against the client to do a squeeze.

I don't really understand what it means by exodus. When someone sells, another person needs to buy to make a transaction. So, exodus here must be matched by injection there. So, what does exodus really mean? Shouldn't each transaction be considered neutral since it consist of a buy and sell?

Nasdaq100 is still positive for the year 2018 despite the second largest stock market exodus (according to BoFA). Perhaps not as serious as it sounds.

> 30% down is truly huge by hedge fund standard. I won't be surprised investors will be pulling out their money after seeing such a big down year. https://www.ft.com/content/3d07e70c-fefc-11e8-ac00-57a2a826423e Jabre Capital, which was set up in 2006 and which has been managing roughly $900m...