Quote from bpcnabe:
It has nothing to do with an over-leveraged mortgage market. Bucket shops themselves are not leveraged, they just extend you leverage knowing you will blow up. These new regs were put into effect after a raft of complaints and charges made against these firms. It is about reigning in an unregulated, wlid west trading model.
It has nothing to do with firm leverage and market exposure and risk of firm default.
Quote from athlonmank8:
This didn't help anything. All it did was cause me to risk more of my money in these bucketshops.
I don't want a ton of money with these guys. Now I need to have 8x more at risk with them. That blows. If they go under i'll be losing 8x the money. That's all I got out of this reduced leverage.
You shouldn't be posting here because you don't understand rational thinking.
Quote from bpcnabe:
You really are a moron and shouldn't be posting here as you are trying to rationalize to your little brain why you can't do something and refuse to even go to the NFA site and read the literature (which I am not surprised as you are probably illiterate as well, especially based on the useless contributions here in this threa). It is you who has no idea what you are talking about, but go ahead and lose your 8x monopoly money in your demo account because it is obvious you have no f'n idea what you are doing.
Go back to the basement junior.
Quote from blnbr:
Those who trade 50:1 or 100:1, how tight (how many pips) you place your stop loss order from your entry point? I am trying to learn something here. Thanks!