Size of an FX account?

[lbranjord]

Hey all,

Quick idea here to expand and debate upon. How large would you allow your forex account to get? Is it safe to have a million dollars in an fx account (not claiming I will or won't, keeping it hypothetical), or do the brokers start to raise an eyebrow if you're profiting too much?

I'm not there yet but I would like to prepare for things and make the right decisions if/when the time comes. Seems like most trade their fx with 100-500k and put the extra in other securities.

I know it's a broad topic, but I am used to having a certain amount invested and a lot of different feelings come in to play as that grows to amounts I am not used to.

 

[everyonerich]

go with biggest fx player in the world, deustche bank - http://globalmarkets.db.com/fx/index.html

i havent been update whats going on in fx industry thing, but try search for euromoney mag, however it is not related at all about trading strategies, teach u how to make money thing..

 

[Adamus]

A broker will only be worried that you are making too much money when it is they who are taking the other side of the trades you do.

 

[wackypete2]

The only time most brokers will have issues with you is if you are successfully scalping or news trading, OR they are undercapitalized (you will have to do your homework before opening an account). Generally most brokers will offset/hedge their positions but if your turnaround time is a few seconds they are unable to do so and therefore the risk is theirs, ie: if you win, they lose.

By the way, many of the so called ECN or STP brokers will also frown on you for the same type of trading if you are successful even though they claim to have no financial interest in whether you win or lose...but their liquidity providers DO. If an ecn type broker continues to "pass through" your trades the their liquidity providers and you are beating the pants off them then those providers will threaten to drop the broker like a hot potato. You will find your orders suddenly not get filled as easily or not at all. Just be aware.

If you have significant amounts of money it may be wise to diversify and spread your money over 2-3 forex brokers.

Peter