Comment Text:
i0-001
COMMENT
CL-03327
From:
Sent:
To:
Subject:
Jose Harvin
Saturday, January 23, 2010 3:41 PM
secretary
Regulation of Retail Forex
regarding- RIN 3038-AC61
Hi there,
Risk Management, Risk Management, Risk Management!!! That's the key to a retail trader's success!
As a retail investor I am requesting the 100:1 leverage remain. The 100:1 leverage reduces the amount
of capital I must place in a Forex account while keeping my funuds in my savings account. The 100:1
leverage reduces my chances for a margin call. The 100:1 leverage allows my stops to be wider.
I base my trades on a maximum percentage of account at risk on any given trade- usually I risk no more
than 2%. The 100:1 leverage affords me the benefits I listed above and maintain solid risk
management. Based on the amount of pips needed to place a logical stop, I claculate how many lots I
can place and remain within 2% of account risk on the trade. This risk management is key to keeping in
the game and out of trouble.
Maybe the CFTC can implement a required 8 hour course on forex basics and risk managment and an
bi-annual (2 years) refresher on risk management and regulatory laws for IB's, FCM's, and even the
Retail Trader. You will force everyone involved to become educated about the business or just not
participate. The CFTC will generate more revenue for hiring enforcers and computer equipment. (sort
of how realtors are regulated).
This will create regulator jobs in getting all the companies and retail people licensed to trade Forex and
at the same time educate our country on the value of the dollar and other world currencies..
Those are my thoughts.
Kind regards
[email protected]
retail investor
