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View Full Version : Is it illegal to trade with an overseas Forex Broker?



ji29
11-08-2010, 05:22
I'm reading now that there's 50:1 leverage on all US brokers, and this is just getting ridiculous, what's next, 10:1 leverage? Anyway, all these overseas brokers, big banks, reputable institutions, and so on, are offering higher leverage, leverage I like, at least 100:1, so is it illegal to trade with these forex brokers despite their leverage terms? As a US client am I bound to trade with 50:1 leverage now no matter what thanks to this The Dodd-Frank bill?

DickP
11-08-2010, 05:32
Some say yes, some say no. Why don't you call the CFTC for some clarification, otherwise, this may be you:

http://blog.nj.com/ledgerupdates_impact/2009/03/large_maddthur.JPG

Toscani
11-21-2010, 16:44
No its not illegal, it just a pain now, and less profitable

MuadDib
11-22-2010, 01:24
I wouldn't risk it at this point, what if your account is closed due to one stinking provision in Dodd-Frank, and your funds are seized and you are out everything. Is that better or worse than being forced to trade 50:1 leverage?

tab
11-23-2010, 11:56
You're not going to get arrested for trading with an overseas broker, are you crazy? They may not want to accept you, but you're not going to get hunted down, what dummy

DickP
12-13-2010, 01:27
Can't a guy poke a little fun at the situation? No one else does :D