Since January this year, the US CFTC (Commodity Futures Trading Commission) has been trying to limit the leverage. At first they wanted to limit it to 10:1 leverage, and that is outrageous. They saying the limitation is to keep trader ‘safe’, but I feel that traders should have the freedom to choose their own leverage. Not much news about it, after many months, here is the only news I have : http://technorati.com/business/finance/article/forex-trading-restrictions-posed-on-retail/
However there are not much detail on it too, until I read the current month “Currency Traders Magazine” (you could obtain the latest issue here http://www.currencytradermag.com/). In the October issue, the detail has been revealed, leverage have been limited to 20:1 and 50:1 depends on various pair.
Read more!
