Comment Text:
i0-001
COMMENT
CL-04361
From:
Sent:
To:
Subject:
Mary Helen Welter
Thursday, January 28, 2010 12:53 PM
secretary
Regulation of Retail Forex
Hello,
I am writting today to express my total disagreement with this proposal to change the forex leverage from
100:1 to 10:1. I am a new Forex trader who has studied and demo traded and done some live trading for 2 yrs. I
am working towards putting enough money in to be able to trade mini lots, as so far all I have to trade with is
enough fo micro lots. I have studied and demoed because this is going to be a new career for me, and at the least
a part time job to supplement my income. This proposal will make it impossible for me to really start any kind of
trading career.
With all due respect, your bussiness is to protect us from fraud.., not tell us how how much we can risk.
New traders who jump in not knowing how it works, with no money management plan, and risk aversion
knowledge can loose alot of money. AND this is how many people have to learn. Traders have a choice, they
don't have to do 100:1 leverage.., and they can do many other things to cut down on risk and protect themselves.
If you treat the Forex like a get rich quick scheme, yes you will most likely loose money.
If only the people with huge amounts of money are able to trade., no new money can come in and be made...
what good does that do for anything or anyone at all!
May I suggest that instead of changeing the leverage rate, you make it mandatory for brokers to better explain
to new traders how it works. Maybe even a mandatory demo account period or something.
There are many people like myself, who are responsible and take trading seriously enough to take classes and
practice for as long as it takes to understand how it all works.If this proposal goes through, the "regular Jo" like
me can't even get in. I have worked hard everyday for 2 yrs. to understand the currency market, and how to trade.
Furthermore this would be a devestating blow to our fragile economy, as huge amounts of people will go
out of the country to trade,as I know I will be forced to. Thousands of jobs will be lost,and we will not have the
fraud protection of the cftc.
We need to keep as many jobs in this country as possible. I am hoping that you really do want to protect us.
How I wonder, will you be protecting us, by forcing us to go out of the country to trade.
PLEASE ! DO NOT implement this proposal, for it will not help anything. Instead require that the brokers
explain better what the risks are to new Forex traders. Maybe the brokers or you could require new traders to only
trade on a micro account with a limit amount to start with or something.
There are many alternatives that would be simple to implement, that would address the problem.
Thank you for your time and consideration,
Sincerely,
Mary Welter
PO Box 367
Cedaredge, Co.10-001
COMMENT
CL-04361
81413
970-856-7987
