Comment Text:
i0-001
COMMENT
CL-05044
From:
Sent:
To:
Subject:
Joe Pugliano
Friday, February 5, 2010 9:39 AM
secretary
Regulation
Dear Secretary,
I am writing is in response to the new proposed regulations concerning Forex trading. I am a
small speculator. I trade 15 different major crosses usually only 2 or 3 at a time. This is my livelihood.
The current 100:1 odds that I receive through my broker enables me to maintain a level of self
preservation. I analysis my charts and usually trade 6-8 times a week.
As you know it takes $1000 of my margin account to trade 1 lot per currency and on average the
payout is $9.00 to $10.00 per point. I never allow my trades to effect more than 13% of my margin.
If the 10:1 ratio is allowed to take effect, it will require $10,000 of my margin account per trade to
maintain the same payout.
This then will become a 'Rich Man's Game' as it was before 1998 and force me out. My margin
account is small. I do not have the funds to maintain a $500,000 margin.
The only other option would be to put at risk most of my margin account on trades. This is not
acceptable.
Please consider removing the 10:1 odds from your proposed regulations.
Sincerely,
Joe Pugliano
