A few days ago, I received email from FXDD.com. Please read it below:
For small traders just like me, in the past FXDD was one of the most favourite forex broker because they support micro account, provide MT4 as trading platform, use several payment method, small deposit and a few other benefits. Now, I think small traders should find other broker for their trading activities.
Dear FXDD Customer:
As you know FXDD is in the process of registering with the CFTC and joining the NFA. In order to complete our registration process FXDD must be in full compliance with all applicable NFA and CFTC regulations. We are taking this opportunity to advise you that beginning Sunday November 29th, 2009 FXDD will implement strict compliance with all applicable CFTC and NFA Regulations. Going forward, FXDD’s back office system will be the official statement of record for all accounts. Meta Trader statements will not be recognized as official records. FXDD’s back office is compliant with all CFTC and NFA regulations regarding hedging and FIFO. Also, leverage will be adjusted to comply with NFA regulations. The following is a list of changes that will be executed:
- Leverage will be set at 100:1 for major currencies; all others will have a leverage of 25:1. The only currencies affected by the 25:1 will be the USD/TRY and the USD/MXN. Gold and silver leverage will be set at 100:1 We urge you to examine your positions now and determine if and how the change in leverage will affect you. FXDD’s pip calculator is a useful tool:
- Going forward, the official FXDD account statements will show positions offset on a FIFO (first in, first out) basis.
- FXDD’s back office does not recognize hedging. FXDD’s back office is a position based system and all opposing orders are offset immediately. Going forward the official FXDD account statements will show opposite positions being offset immediately. Please note: this change will not affect your trading style and will not affect your EA if you use one.
- You will no longer receive a daily MetaTrader statement via email. Official daily and monthly account statements will be emailed to you directly from the FXDD back office. You may, however, retrieve a complete trading history for your account from the “Account History” tab in the terminal on the MetaTrader platform. Please note that the trading history provided on the MetaTrader platform is for trade ticket reference only, and is not an official account statement.
- Shortly you will be given access to FXDD’s back office report viewer that will give you real time access to the back office and allow you to create and print detailed account statements.
- We urge you to download the latest compliant version of Meta Trader at
Thank you very much for your cooperation. Please feel free to contact us with any questions and/or concerns at
+1-212-791-3950 or firstname.lastname@example.org
Finally, MetaQuotes Software Corp. launches their newest version of MetaTrader Trading Platform which now is the fifth generation. The newest, MetaTrader 5 is in beta testing now. MetaTrader 5 has newest programming language called MQL5 meanwhile MetaTrader 4 was using MQL4. Learning from changing of the previous generation, it supposes that many works will have to do to synchronize the indicators and expert advisors. Many EA programmers will hate this but some are expected this upgrade. Hopefully our hard work will be worth with the newest features of MetaTrader 5.
Meanwhile, for traders there will be a lot of questions about this MetaTrader 5. The rumor is this version implements the newest NFA rules about trading. There will be no hedging and will implement FIFO (first in first out) in this MT5. I hate to say that regulators and some institutions use many ways to prevent traders to gain profit but the facts are going to this situation. If MetaQuotes can’t find solutions for these, I think there will be a lot of traders are looking another platforms for trading.
In case that you want to try the beta version of MetaTrader 5, you can find it at here.