Comment Text:
i0-001
COMMENT
CL-01978
From:
Sent:
To:
Subject:
John
Rickard
Thursday, January 21, 2010 4:33 PM
secretary
RIN 3038-AC61
Dear Mr. Secretary,
I became a retail forex trader last year and since then have had to
endure several rule changes, most notably FIFO, No Hedging/No Individual
Position Management, and Margin Requirements essentially forcing 100:1
leverage. While the hedging has not affected me flae inability to manage
my individual trades and being subject to FIFO has created havoc for me
and many other traders. Under these rules ifI open 3 trades and flae
3rd one turns out to have been a bad choice I have to close all of them,
flais is not a sound practice. Now the CFTC is proposing new rules flaat
would now limit leverage to 10:1 causing a massive increase in margin
requirements while all out destroying the profit potential of my
trades. I am not rich, I am probably what someone would call small
potatoes in the scheme of flaings. I lost my 9-5 job a little over 2
years ago and have struggled to find a new one during flaat time and when
I decided to enter into retail forex trading full time I was able to
once again be successful in my life and earn an income capable of
supporting by bills, debts, and needs. If you pass this onerous rule
change people like myself will be forced out of the retail forex market
as we will no longer be able to afford flae margin requirements to make
anywhere near flae same profit levels. I expected to be able to bring in
60k to 80k before taxes this year(2010) but if you pass these rules I am
most likely going to need to try and find a job in a shaky economy where
unemployment is 10% and this weeks initial jobless claims have grown by
36k. Please stop and please do not continue to punish people like me
who are trying to make our way in a country flaat has turned backwards
against everyflaing we know that works. I along with most other traders
in any market are fully capable in making decisions on our own about
ourselves and we really do not need any hand holding. We need the
freedom back to make flaose decisions on our own. I have spent many
countless hours studying and researching fundamental and technical
analysis, economics and finance over flae years and have invested many
hundreds and flaousands of dollars in those studies. I now spend my days
studying charts, examining fundamentals, and tracking the economies of
flae world so flaat I can conduct my trading. If flais rule is passed all
of this expense of time and money will have been a waste beyond my own
need to learn and you will be telling every American like me you don't
want us to be successful.
Do not pass this rule and when you do not pass this rule take flae time
to change the rules in a less restrictive way. Get rid of FIFO so we
can once again manage our individual positions. We traders are not
against good and proper regulation but the route that has been carved
out thus far has not been good or proper, it has instead been far more
on the side of onerous and destructive. Consider flais sir, those retail
and commercial traders and investors will not remain in the US market
wifla rules like this. Many will head to the UK and oflaer markets flaat
give the freedom to make good and bad decisions. This rule change will
negatively affect prosperity as a whole in America at a time we need as
many people as possible able to choose a successful pafla whether that be
as a trader or not.
Do not pass this rule.
Best regards,
John Rickard
