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which firms increased margin rates last week?
- Thread starter mgarc
- Start date
Quote from Shraga18:
OEC also just raised the margins, by a LOT! While I understand there's higher volatility, raising required margin by almost 600% seems somewhat excessive...
Their notice said it was temporary. They've always been good about not adjusting, so this recent volatility must have required a temp adjustment.
Quote from brownsfan019:
Their notice said it was temporary. They've always been good about not adjusting, so this recent volatility must have required a temp adjustment.
I agree the adjustment was a good idea. I was just surprised they raised it THAT MUCH. I mean double, or even triple I'd understand. But going from $500 to $2,800...?
Adjust your "strategy" now.
IMO, intraday margin is on it's last legs. Exchange margins are only going one-way. 3 substantive increases so far in Q4-08 (1-month)! And with the government calling for OTC clearing, and the CME vying for billions worth of clearing fees, rest assured the CME will do what the establishment wants... raising margins is the tip of the changes for the futures industry and us/U.S. traders. The game is in flux, amid the un-official transition.
I'll even go so far as to say that within 2 years OX (parent of OEC) will be purchased and/or merged with one of the new financial-grid players. Default on a credit card and your futures or options account can/will be raided. Start reading the fine print of all things financial; It's happening already.
Good trading to all.
Osorico
IMO, intraday margin is on it's last legs. Exchange margins are only going one-way. 3 substantive increases so far in Q4-08 (1-month)! And with the government calling for OTC clearing, and the CME vying for billions worth of clearing fees, rest assured the CME will do what the establishment wants... raising margins is the tip of the changes for the futures industry and us/U.S. traders. The game is in flux, amid the un-official transition.
I'll even go so far as to say that within 2 years OX (parent of OEC) will be purchased and/or merged with one of the new financial-grid players. Default on a credit card and your futures or options account can/will be raided. Start reading the fine print of all things financial; It's happening already.
Good trading to all.
Osorico
I am with OEC too, and they went to half the exchanges margin on the 28th. For professional traders who do not lose their shirt this is bull!
Quote from Shraga18:
OEC also just raised the margins, by a LOT! While I understand there's higher volatility, raising required margin by almost 600% seems somewhat excessive...