Tag Archives: Brokers

FXCM Exits the U.S. Market

FXCMOn February 6, 2017 leading Forex broker FXCM announced a settlement with the National Futures Association (NFA) and the Commodity Futures Trading Commission (CFTC) in which the company agreed to withdraw from all activities and services in the United States and transfer all of its existing accounts to GAIN Capital Holdings, the parent company of Forex.com, pending the confirmation of a final agreement. FXCM will also pay a $7 million fine to the CFTC for engaging in false and misleading solicitation of clients, an accusation which FXCM neither confirms or denies despite its agreement to the proposed settlement and fines.

Until now, FXCM was considered the largest retail Forex broker in the U.S., enjoying approximately 34% of the market share. Withdrawal from the U.S. market will liquidate approximately $52 million for FXCM, which will use the money to repay part of the loan that it took from Leucadia National Corporation following the Swiss National Bank crisis in 2015. FXCM is a publicly traded company on the NASDAQ and its stock price is expected to fall sharply with Tuesday’s New York open, falling further from the lows it’s been struggling with in recent months.

FXCM will continue to service its U.S. clients until a formal agreement is reached with GAIN Capital, and it has stated in a press release that the decision to withdraw from the U.S. Forex industry will have no bearing on its ability to continue providing top notch service to traders in other parts of the world.

DailyForex App Adds Push Notifications for Price Alerts

The Company’s Android and iOS Apps Keep Traders Updated Around the Clock

FORT LAUDERDALE, Fla.Nov. 15, 2016PRLog — DailyForex, a company that provides currency traders with updates and analysis about the currency markets, has announced today the update of its Android and iOS DailyForex mobile application to include instant push notifications that will alert traders every time certain price triggers are hit.

DailyForex’s new alerts service sends immediate, easy-to-follow push notifications to all users when significant price events happen to the major currency pairs. The company’s trading team discovered that most typical, generic offerings are mainly indicator or news-based, and therefore they tend to simply generate noise rather than provide a real value to Forex traders. To solve this problem, the company’s talented technical team worked diligently with its daily traders to create a notification system that would be based upon real-time market triggers.

“Traders tend to find better success when they focus on the price and not lagging indicators,” said Adam Lemon, chief analyst at DailyForex. “I know that these notifications will help thousands of users, and I hope we can expand this feature soon to make it even more useful.”

The result was a push notification system based solely upon significant, relative price events which have been used for centuries as basic building blocks by professional traders to good effect. Each push notification has a direct headline that tells traders of the market action, which opens into a more detailed message explaining the significance of the price event.

About DailyForex

DailyForex was established out of a strong need for a Forex website that provides all the information necessary to become a successful Forex trader. DailyForex.com provides in-depth reviews of Forex brokers, signal providers, online and offline Forex courses, as well as Forex products. Our goal is to provide both new and experienced Forex traders with a set of clear and easy-to-use tools that will enable them to make educated decisions when choosing any type of Forex-related service.


Forex Brokers Introduce Higher Margin Requirements Pending Brexit Volatility

Retail Forex brokers continue to line up ways to protect themselves against market volatility before the June 23rd Brexit referendum. Increasing the required client margin is one of the easiest “temporary changes” to introduce and that is what many Forex providers are doing just that. Continue reading

EXNESS Group Reports Q3 Trading Volume

By: DailyForex.com

The report for the third quarter trading volume at EXNESS Group has just been released and the numbers are down. Year-on-year growth compared to the same period last year was slightly up but the performance for Q3 stands at US$599.3 billion, a 9% decline compared to Q2′s trading volume of US$660.5 billion.

George Tsaparillas, Director of Global Strategy and Business Development at EXNESS Group, attributes the Q3 volume decline to several factors not related directly to the brokerage company. He points to high stock market volatility which has attracted new investors of late and to conservative clients who have moved their portfolios to fixed-income instruments as a reaction to uncertainty over the tightening of monetary policy in the US and the future growth rates in China.

Tsaparillas is certain that the company’s consistent efforts and commitment towards transparency in the sector which has been a key factor in the firm’s growth over the years will continue to being appreciated by traders and that 4th quarter results will be substantially improved.

The EXNESS Group was founded in St. Petersburg, Russia in 2008 and is a foremost Forex and ECN broker. It is regulated by CySec in Cyprus as well as by the Financial Service Provider Register in New Zealand and is the recipient of several awards by recognized publications.

Investment Markets Search for New Ways to Attract Traders

In the world of investing, both brokers and traders agree on one thing: there is a constant need for new and exciting offerings. Traders move from one investment instrument to another when the one they were using becomes either boring or not profitable. And brokers have to step in and fill in the need while at the same time generating fees and commissions so they can maintain their position in the market.

Although foreign exchange has been used by banking institutions and government agencies for decades, Forex trading through an online broker is a relatively new endeavor and over the last decade or so Forex trading has become an extremely popular way for investors to make some quick profits.

But like anything that is novel and exciting at first, the luster of Forex trading is starting to tarnish and maintaining an online brokerage which offers only foreign exchange has become increasingly challenging. So Forex brokers are on a constant search for newer and better options so they can attract new clients while holding on to their existing ones.

There are some excellent Forex brokers in the market today and they are finding upscale technologies that will give them the edge over their competitors. The next new phase, which has
been around for some time (since 1990 in the UK) but has remained low key up until now, is the use of CFD (Contract for Difference) trading.

Forex and CFDs are similar in many respects but the main difference is in the breadth of products to choose from. Forex trading is straight currency trading. CFDs covers a wide set of markets and offers a selection of different contracts that vary in increment value and currency type.

Although CFD trading is as risky as straight Forex trading, CFDs offer simple and instantaneous trading. There are usually no fees or commissions with CFDs and they are highly liquid. They are, however, required to maintain a certain amount of margin designated by the brokerage which range from 0.5% to 30%.

Something for Everyone

The easiest way to make share indices and commodities accessible to small retail clients is through making them CFDs. Forex or shares or any other asset can be a CFD or a non-CFD trade.

Many Forex brokers include CFDs in their line-up and there are few brokers where CFDs are their only product. For a broker offering CFDs to stand out from the crowd, it needs to provide at least one unique feature and CFD brokers are scrambling to come up with something distinctive and innovative.

One broker has introduced a feature that will allow a trader to hedge its market exposure on the futures markets in real-time with very high frequency execution.

Another company offers its traders a choice of major indices, including some in the U.S. as well as contracts in gold, silver, oil and other commodities.

Still another broker has introduced no-requotes trading to index CFDs and will waive certain restrictions when placing limit orders and stops close to the market price on indices. Some brokers offer traders new indices created specifically for their traders.

For investors looking to leave Forex altogether, commodities trading is another area that has re-emerged as a good investment option. Investors in the U.S. began trading commodities at the Chicago Mercantile Exchange in 1898 and it has been suggested that rice futures may have been traded in China as long ago as 6,000 years. The popularity of commodity trading seems to depend on how well other investment areas are doing. It’s been the last choice by the average investor when all else seems to be puttering out.

The commodity markets have not changed much over the years and at present only certain commodities have made a comeback and only as a result of global forces at play. For those who believe they can foresee the future, betting on oil and gold can bring in some good profits—or losses.

Commodities are traded separately on commodity markets but can also be traded as CFDs through Forex brokers.

Financial markets are always changing and the attraction of one type of investment wanes as another one gains in popularity. Both brokers and traders alike must constantly stay on the ball if they are to remain ahead of the investment game.