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Old 06-29-2007, 09:36 AM
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Quote:
Originally Posted by Linuxser View Post
Hi Nina, seems you're received same email as many of us. And it磗 quite interesting.

Also, the original author seems to be infamous Felix Homogratus, and then some people had taken the words and forwarded.

Maybe I磎 wrong with my thoughts but...


First we need to distinguish between FCM磗 (Futures Commission Merchant) and FDM磗 (Forex Dealer Member)

As I know the minimum requirement to be a FDM (Forex Dealer Member) is 1 million US dollar.
As is present in the CFTC report looking carefully, pay attention to Net Capital Requirement.

If we look to my main broker which is FXSol the net capital requirement is 2.152.994, and the excess net capital is 18.114.867. They have a lot more money than they need to work under current regulations.

How about FXCM, one of the biggest, net capital requirement is 11.863.500, and the excess net capital is 39.292.372.

Oanda: net capital requirement is 9.667.173, and the excess net capital is 34.489.182.

InterbankFX: net capital requirement is 2.726.397, and the excess net capital is 4.018.506.

United Global Markets (suspended today): net capital requirement is 1.000.000, and the excess net capital is only 19.031.

Solid Gold is directly Out of Game.

ODL Securities (one of newest): net capital requirement is 1.000.000, and the excess net capital is 8.378.618.

This numbers are not easy to calculate. But it could be resumed as how many positions have open. Also, you can see another things, like how many clients have each one and how big are. Calculate the ratio of Capital/Positions, etc.

But I磎 getting out the main problem.

As I posted here, the net capital requirement was changed last year.

Then in early 2007, NFA approved modifications to concentration charge rules as I posted here, prior revision by CFTC.

There are different and complicated method to calculate the net excess capital and also different requirements for FCM磗.

The most high requirement for Adjusted Net Capital is 5.000.000 for FCM.

The definitions are (last modified on February 2007)

And for financial requirements FDM (last modified may 2007):

Ok, first point is, the NFA can't close a FDM or FCM because wan to do. The Member has to be unaccomplished something. Like being under minimal capital requisites.

NFA must change the current rules before proceed if next minimal requirements would be 5.000.000.

CFTC must give the Ok the changes and It takes a couple of months. And I can't find any pending modification for a future change in the rules.
Generally pending amendments to the rules are posted in NFA web site.

If there is a new rule or modification "to be applied in a near future" there is no in NFA web site.

I repeat, I could be wrong.

But this email could be a campaign to "help" clients fly away from their current brokers. Producing some brokers drops below minimal requirements and have to close doors.

According with last report and if the minimal requirements would be 5 million near to 25/35 brokers would be forced to close doors.

That磗 why I磎 have my suspects about the email.

For more information and/or to check what I wrote: National Futures Association | Compliance
Hi, Linuxser!

Very nice and well documented mail, as always.

I did not get the mail from that "infamous Felix Homogratus". Some friends of mine with live accounts in UGM said to me yesterday they had problems there.

I do not know if there is something nasty going on there, thoug. Lets see if someone post something about it here. As far as I know today is that UGMFX is looking for a known institutional backer.

But what I think it is important is that we all should begin to complain at NFA when we see we are cheated by our broker. This should help to kick bucket shops out of this business.

Linuxser, you can not imagine what a broker could do to you and this must stop.
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We must fight on the winning side, not on the side we may believe to be correct.

Focus, Patience and Discipline
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Old 06-29-2007, 11:21 AM
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Heard those rumors some months ago too, plus am subscribed to Felix`s stuff and today have received longer text, but basically with the same info.

The link he points to in the internet in his mail is the standard CTFC Table in PDF with net requirements and excess net capital for forex brokers - quite the same data as posted in previous post.
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Old 06-29-2007, 01:27 PM
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Quote:
Originally Posted by nina View Post
Hi, Linuxser!

Very nice and well documented mail, as always.

I did not get the mail from that "infamous Felix Homogratus". Some friends of mine with live accounts in UGM said to me yesterday they had problems there.

I do not know if there is something nasty going on there, thoug. Lets see if someone post something about it here. As far as I know today is that UGMFX is looking for a known institutional backer.

But what I think it is important is that we all should begin to complain at NFA when we see we are cheated by our broker. This should help to kick bucket shops out of this business.

Linuxser, you can not imagine what a broker could do to you and this must stop.
Hi.

I think you磖e completely right, but NFA have recognized the almost impossible task of forex market regulation.
I read about that some time ago but please, don磘 ask me for the link because I don磘 remember.

But, behind mi post there is another thing.

When I read your comments about brokers and markets I think: guau, Nina it磗 damn hard writer, tries to wake up people.

And then, as some phrase says, I think: the worst blind is who do not want to see. And let me explain this a little.

At the end you would find the letter from UGM.

It was posted in Metatrader Yahoo group 4 days before the email starts to run around. But seems nobody takes a read.

But then, everybody was talking about the problem with UGM and another couple of brokers.

It must be a hard work to open a word document or we磖e completely lazy and we want to receive only digested news in order to avoid headaches due to the task of thinking.
And is another problem doing some check before trust. So, we prefer to trust without check.

And after that (second email) in every know place we can find some reference about NFA and brokers. Bla Bla Bla.

The crow behavior.

The same that lot of books and professional traders insist is your best enemy to be a successful trader.


Ok, now it's time to ask again: How many "real traders" are? Seems I can count them and it磗 enough with fingers in my hands.

Don't you think the same Nina?.

Two more things.

You could be suspicious about broker letter at first, this it a good beginning.
Somebody could wrote an email to broker asking about the truth of the letter. But best, let clients do the task.

And then, 4 days later you could have confirmation directly NFA letter:

Quote:
For Immediate Release
For more information contact:
Karen Wuertz (312) 781-1335, kwuertz@nfa.futures.org
NFA takes emergency enforcement action against Boston forex firm, United Global Markets LLC
June 28, Chicago - National Futures Association (NFA) has taken an emergency enforcement action against United Global Markets LLC (UGM), a Futures Commission Merchant and Forex Dealer Member located in Boston, Massachusetts. UGM acts as a counterparty to customer accounts trading in off-exchange foreign currency (forex) transactions.
The Member Responsibility Action (MRA), effective immediately, prohibits UGM from soliciting or accepting any additional customer accounts or funds. In addition, the action prohibits UGM from accepting or placing trades for customer accounts except for the liquidation of existing customers.
NFA took the action because UGM failed to demonstrate to NFA that it is in compliance with minimum capital requirements. The action will remain in effect until UGM has demonstrated that it has at least $1.5 million in adjusted net capital and provides NFA with a certified financial statement prepared by an independent public accountant who is registered under Section 102 of the Sarbanes-Oxley Act. UGM may request a hearing before NFA's Hearing Committee.
NFA is the premier independent provider of innovative and efficient regulatory programs that safeguard the integrity of the derivatives markets.
But from "one broker problem because is under margin requirements" we ends "with a lot of brokers with problem and 5 million new requirements"

The broken phone.
The dog dies and the grandpa have to bury, but when the kid knows what happened the grandpa died buried by the dog.
Attached Files
File Type: doc MRA Notification to Clients.doc (52.0 KB, 53 views)
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Last edited by Linuxser; 06-29-2007 at 01:41 PM. Reason: I forget the attachment
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Old 07-02-2007, 06:17 PM
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Hi!

Linuxser, my friend, you are right. I try to use this thread, one of the most visited in FOREX world, to warn newbies and some seniors about the nasty and outrageous things they are going to find here.

Maybe I waste my time. Sure. Maybe I'm so pretentious to think somebody will listen what I say. I do not know. I do not know. But I'm not going to surrender. I'm against all kind of brokers that behave like criminals. All brokers that smash the dreams of so many people.

If you are a follower of my signals, you know already that I said that EURUSD, while above 1,3424-1,3400, its way was and is to 1,3666 and 1,3758. This was said a long time ago. Today, EURUSD made a high at 1,3638.

Said too that GBPUSD, while holding above 1,9730, its way was xxxx - 2,0180. Today, it has made a high at 2,0174.

Said too that USDCHF, while below 1,2345, its way was to xxxx - 1,2104.
Today, it has made a low at 1,2096.

Said too that USDJPY, while below 122,76, its way was down.

None of those levels were found using any indicator, but price itself.

One of my mottoes is "We must fight on the winning side, not on the side we may believe to be correct".

I get deeply depressed when I see all kind of idiots saying: "I don't think EURUSD could break 1,3600". "Sell cable with all the money you have in your account"....

Technical trading is today more a fight to find the most colorful indicator than an effort to find patterns or strong resistances and supports. You can not fight this trading war if you are going to pull the trigger according to what you think and not according to what you see. What you see is not an EMA, but price made of and from fundamentals.

Linuxser, keep working on supports and resistances. Trust me, its the way to go.
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We must fight on the winning side, not on the side we may believe to be correct.

Focus, Patience and Discipline
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Old 07-03-2007, 11:57 AM
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Hi Nina

I am interested of the signals that you send , and I have some questions :How much is the price and how can I pay? How do you send them - by SMS or e-mail ? Could I use the signals only 1 week (to see how they work ) ? Could you send me signals for GBPUSD GBPJPY EURUSD USDCHF ?
Forward Message
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Old 07-03-2007, 12:01 PM
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If there is a week trial perion Im interested too. Even more in your level/fibo strategy learning.

regards

k
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Old 07-03-2007, 01:23 PM
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q

ok monts .
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Old 07-04-2007, 09:10 AM
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Hi!

Geonai and Karamikus:

No service during July and August.

THX
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We must fight on the winning side, not on the side we may believe to be correct.

Focus, Patience and Discipline
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Old 07-04-2007, 10:27 AM
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Hi!

I think the attached PDF could help a lot.
Attached Files
File Type: pdf ScamsAndSwindles.pdf (576.9 KB, 607 views)
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We must fight on the winning side, not on the side we may believe to be correct.

Focus, Patience and Discipline
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Old 07-18-2007, 01:40 PM
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Well,well,well after all this time nina you are still throwing the bull. Time after time people who have eyes see right through you. i will say this you are persistent like a pirana lol.
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