i think the leverage is not a problem for the strategies,but the margin for opening several trades could be a huge problem. I dont know how to handle this.
Re: Z1/2/12 and the new ESMA regulations
[Re: Hopoe]
#473532 07/20/1812:1407/20/1812:14
Hi jcl. I would appreciate your thoughts on this ESMA change. I'm told it applies to anyone with a European broker, even if they themselves are not in Europe...
Specifically,
a) The impact on the Z systems.
b) If Zorro will be able to handle the margin problem, or if each of us will have to individually code this in every strategy.
Thanks.
Re: Z1/2/12 and the new ESMA regulations
[Re: DdlV]
#473614 07/26/1818:3007/26/1818:30
Didn't your broker already announce the changes to you? Then I guess you are not affected, those changes have to be realized till 1st of next month and the (regulated) brokers I trade with sent at least 3 mails the last week concerning the changes.
Re: Z1/2/12 and the new ESMA regulations
[Re: Sphin]
#473615 07/26/1819:4907/26/1819:49
Hi Sphin. Yes, I have mails. And would appreciate jcl's insights as to the impact on Zorro in general and the Z Systems in particular.
I.e., what will happen if one doesn't make a change...
Or should one absolutely make a change?! I.e., stop trading with European brokers immediately because the Z Systems and Zorro's performance is compromised by these changes?
Thanks.
Re: Z1/2/12 and the new ESMA regulations
[Re: DdlV]
#473620 07/27/1810:0407/27/1810:04
Yes. But what about the margin issue? One broker's example is an account with $2000 balance. Open a trade that requires $1000 margin. If account equity falls to $500, all positions are closed. Do the Z Systems and Zorro handle this?
Thanks.
Re: Z1/2/12 and the new ESMA regulations
[Re: DdlV]
#473643 07/31/1816:0707/31/1816:07
For ESMA impact #1, I can adjust AssetsFix.csv to account for the lower leverage.
What do I do for ESMA impact #2 (the 50% margin "stop")? The latest word I have from FXCM is that if account equity falls below 50% of the total margin of all trades, opening new trades is prevented until equity returns above. What flag/setting/whatever do I set to say Test in ESMA mode?