Yes, I believe the reduction of the leverage will keep both the DMA brokers and traders safe from huge losses. CySEC seems to be one of the most strict regulators these days in Europe with FCA and BaFin alongside.
CySEC has been trying very hard in the past year or so to fix its reputation after the fiasco with IronFX. (https://www.forexnewslab.com/tag/cysec/ ) They’ve implemented more regulation following ESMA’s mandate, they’ve started actually looking into brokers’ finances, etc. I don’t know whether it’s all peachy now, but it seems to be better than before.
I really don’t trust much CySEC anymore. I shifted under FCA . There are plenty of Brokers who cover wider list of country under FCA like Tickmill, Axi trader (However, they required a lot of paperwork).
CySEC seems lost its control over retail broker. They become less active during fraud from big companies as you mentioned IronFX. IronFX is even a registered company in Cyprus. Their lawyers can keep waiting the rule from court as long as they need and ultimate victim is the traders.
Unfortunately, it turns out that you’re right and I was wrong. The French ombudsman recently revealed that the majority of the complaints (83%) filed at the French regulator AMF have been against were against brokers regulated by the Cyprus Securities and Exchange Commission (CySEC) who are using the passporting rules under MiFID to operate throughout the EU. Most complaints included allegations of psychological manipulation, phone harassment and siphoning of the account funds. (https://smnweekly.com/2017/04/26/amf-ombudsman-83-of-complaints-in-2016-were-against-cysec-regulated-forex-brokers/) I am very disappointed. I genuinely thought that CySEC were cleaning up their act and were establishing a better control over their brokers.
This is all very concerning, because once Brexit happens and the FCA regulated brokers end up outside the EU (depending on whatever deals the British government makes with the EU) CySEC will remain the largest regulator within the EU, as far as I know.
We the traders should choose the broker which is more appropriate to the concept of trading that will be used , if you love doing scalping should choose the broker which doesn’t restrict scalping and permits scalping including lowest trading spreads.
mr_cenk posted: Yes, I believe the reduction of the leverage will keep both the DMA brokers and traders safe from huge losses. CySEC seems to be one of the most strict regulators these days in Europe with FCA and BaFin alongside.
It will also decrease the profit. To get the same profit traders will have to trade more often and risk more
you should check https://brokerchooser.com/, they have a super useful comparison table and a questionnaire which helps you to choose the right broker. On their page, you can find reviews written by traders too (https://brokerchooser.com/broker-reviews). As much as I know they are focusing on european investors, so it really worth a check.
kovi12 posted: you should check https://brokerchooser.com/, they have a super useful comparison table and a questionnaire which helps you to choose the right broker. On their page, you can find reviews written by traders too (https://brokerchooser.com/broker-reviews). As much as I know they are focusing on european investors, so it really worth a check.
BROKEXP Let us have a close look at broker, which growth over the past 20 years, from a tech start-up to a global, leading corporation with offices in 8 major financial centers and clients in over 196 countries. It is BROKERXP (https://brokerxp.com/) . For the years of hard work the strong team of like-minded professionals was working for your benefit. The core idea of their team is to deliver to usual users best trading conditions, which will be suitable and understandable for all. They provide us with user friendly web site and all stuff that we will need to become a professional trader from novice. Step-by-step instruction for BROKERXP Now we will step by step analyze how to register, overview the key features and what to do further and how to start to earn with this this broker. So let us start from the very beginning. 1. Open an account. Absolutely everyone and absolute free can open an account on the site of the BROKERXP and start trading. All that you will need - to pass through easy procedure of registration. It means that after completing the registration form and submitting identification documents for account validation you can open an account, make a deposit and start trading. If you do everything correctly the whole process takes about 5 minutes. This broker also has a demo account but we will talk about it later. 2. Second step is deposit. Minimal deposit to an account at BROKERXP is 500$. You get this money on your account with 0 fee. It means that exactly the same quantity of money will appear at your account as you deposited. 3. After registration and depositing money to account you already want to start trading. But stop, let us glance at all conditions that the broker offers. Why BROKERXP is reputable and trusted broker? For the fist, when you are depositing money to account and start, let us say, profitable trading, you want your money to be in safeness. For it can not worry, BROKERXP is dealing with top tier liquidity, in particular with 22 tier banks. So you can be sure that you can multiple your money and withdrawal it at any time. Another one – we have spreads started from 0.0 and leverage between 1:1 – 400:1, it will definitely depends on the amount of deposit. Already want to test it, But it’s not even the half. With BROKERXP the trader gain access to the World’s leading trading platforms, and this list includes Metatrader 4 (MT4). It is very convenient, because you can download the mobile app and always keep your finger on the pulse of financial markets. This app will grant you full control of the situation and more quick access to all trading events. All this stuff can seems hard and mind blowing, but don’t worry, every moment of traders’ life is envisaged with BROKERXP. We have 24/5 support and you can feel free to contact it any time with any question. Moreover we have visual Video Tutorials for guidance and Academy. Everyone started from the bottom - there is nothing wrong. You can learn the basics of Forex Education or Binary education. We offer both e-books and videos. After get acquainted with all materials, after your first successful deal comes the moment when you want to withdraw you money. Well, the minimum withdrawal at BROKERXP is $100. The trade is allowed to one withdrawal request a month is exempt from processing fees. Any subsequent withdrawals performed within the same month will be subjected to a processing fee of 30 USD, 25 EUR or 20 GBP. So now it seems you got all necessary information to start profitably earn online with BROKERXP. Be careful, start from learning at the «Academy», practice with demo account without a possibility of losing money. It will grant you the understanding of the whole process, of the market and its features. But even after all build up your strategy backtest it with proper instrument of BROKERXP and only then start to trade on real money.
If you depend on regulated trading broker , it is better to move the broker which is regulated by the US or UK. Because they are real regulated trading broker and always ensures security of funds at any kinds of investments .