possible FX leverage 'cap' gonna happen?

I

increasenow

possible FX leverage 'cap' gonna happen?..I heard/read that Forex firms in USA might possibly be restricted to a max of 100-1 leverage in Forex trading in the USA...do you think this might really happen?...if yes, when?...what are the implications of such a restriction?

To me it seems as if many traders could no longer trade FX and many FX brokers might go out of business?...agree?...just my thoughts here...thanks for your input!
 
Quote from increasenow:

possible FX leverage 'cap' gonna happen?..I heard/read that Forex firms in USA might possibly be restricted to a max of 100-1 leverage in Forex trading in the USA...do you think this might really happen?...if yes, when?...what are the implications of such a restriction?

To me it seems as if many traders could no longer trade FX and many FX brokers might go out of business?...agree?...just my thoughts here...thanks for your input!
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Anyone using more than 50 times leverage is destined to lose all his money
 
If they limit it to 25:1 or less I hope they plan on making a provision for protection of funds!

Since Refco it seems people prefer to keep less in their trading account and take advantage of the small margin requirements.

In UK we're protected up to GBP50k but as far as I know FSA and FSCS are the only ones to offer that level of protection for forex traders.
 
Quote from cabletrader:

If they limit it to 25:1 or less I hope they plan on making a provision for protection of funds!

In UK we're protected up to GBP50k but as far as I know FSA and FSCS are the only ones to offer that level of protection for forex traders.
More...



Your funds are protected up to 50K GBP in the UK?

Does this only apply to UK residents? or can US residents be eligible somehow with your FX broker?
 
Quote from cabletrader:

If they limit it to 25:1 or less I hope they plan on making a provision for protection of funds!

Since Refco it seems people prefer to keep less in their trading account and take advantage of the small margin requirements.

In UK we're protected up to GBP50k but as far as I know FSA and FSCS are the only ones to offer that level of protection for forex traders.
More...

CIPF I believe from Canada offers 1M protection if the firm is a recognized dealer, whatever that means. A list can be found here
 
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