Comment Text:
i0-001
COMMENT
CL-07298
From:
Sent:
To:
Subject:
Bob Smith
Saturday, March 13, 2010 11:36 AM
secretary
leverage in retail Forex
David Stawick, Secretary
Commodity Futures Trading Commission
1155 21st Street, N.W., Washington, DC 20581
Dear Sir:
I am a retired police officer and I currently trade Forex. I have heard that you are seeking input about a
leverage change in the retail market. At the 100:1 leverage which I currently trade 1 lot ($100,000). My
normal trade is 1 lot with a 10 pip stop loss and a 10 pip take profit which means I can make, or lose,
$100 on any given trade. With a 10:1 leverage I would be forced to make more trades with a smaller lot
to get the same daily profit. I do think that the leverages over 100:1 common to the off shore brokers
take advantage of the new traders but the 100:1 is quite reasonable for an experienced home trader.
Rather than changing the leverage why don't you create an educational program that all retail traders
must pass before they can trade? It would protect the new trader and creat jobs in the educational sector.
Robert H. Smith
44125 S. 1-94 Service Drive
Belleville, MI 48111
I think individual responsibility is the foundation of a free society.
If enough politicians tell the same lie often enough, the people will eventually believe them.
