When trading with FX2 Funding, it’s crucial to understand the specific rules and guidelines they have in place. These rules help maintain fair trading conditions and ensure that all traders operate on a level playing field. Whether you’re new to trading or a seasoned pro, familiarizing yourself with these guidelines will help you avoid mistakes and make the most out of your trading experience.

Payment Methods at FX2 Funding

FX2 Funding currently supports two payment methods: credit cards and cryptocurrency. This limited choice means you’ll need to ensure your preferred payment method is one of these options before getting started. While credit cards are widely accepted, using cryptocurrency could offer a faster, more private transaction process.

Commissions on Trades

The platform charges different commissions depending on the trading platform you use. If you’re trading on cTrader, the commission for Forex and Metals trades is $4 per lot per round trip. On the other hand, if you’re using DXtrade, the commission jumps to $7 per lot for the same assets. For Indices, Energies, and Crypto, trades are commission-free on both platforms, which can be a significant advantage if you prefer trading in these markets.

Tradable Assets

FX2 Funding offers a broad range of tradable assets, including FX Majors & Minors, Spot Metals, Commodities, Indices, and Cryptocurrencies. This variety allows traders to diversify their portfolios and explore different markets depending on their trading strategies and risk appetite. Whether you’re interested in traditional currency pairs or newer assets like cryptocurrencies, FX2 Funding provides the flexibility to trade across these markets.

Using Expert Advisors

If you’re a fan of automated trading, it’s important to know the rules regarding Expert Advisors (EAs) on FX2 Funding. Currently, the DXtrade platform does not support EAs. However, if you’re using MT5 or cTrader, you’re allowed to use them, provided they are not high-frequency trading (HFT) algorithms, arbitrage bots, or any other kind of malicious software. This allows for some automation in your trading while still adhering to the platform’s rules.

Prohibited Trading Strategies

To maintain fair trading practices, FX2 Funding has strict rules against certain trading strategies. Violating these rules can lead to severe consequences, including having your account marked as failed or even facing a permanent ban. Here are some of the prohibited strategies:

High-Frequency Trading (HFT):
This involves using fast computer algorithms to execute a large number of trades in milliseconds, aiming to profit from tiny price movements. FX2 Funding prohibits this strategy as it can create unfair advantages.

Latency Trading:
Trading based on delayed market data or exploiting execution delays is also forbidden. This strategy is considered unethical because it takes advantage of timing discrepancies rather than skill.

One-Sided Betting:
Consistently betting in one direction without proper analysis is a risky and discouraged practice. Traders are expected to base their decisions on thorough market research rather than speculation.

Arbitrage Trading:
Arbitrage involves exploiting price differences across different markets to make risk-free profits. While it might seem like a clever strategy, it’s banned on FX2 Funding to keep trading conditions fair.

Hedging Across Multiple Accounts:
While hedging within a single account is allowed, using multiple accounts to hedge is prohibited. This rule prevents traders from manipulating the system by spreading risk unfairly.

Exploiting Platform or Data Freezing:
Any attempts to use platform glitches or data freezing for profit, especially due to demo server errors, are strictly prohibited. This ensures that all traders have an equal chance based on their skills rather than technical loopholes.

Account Sharing and Third-Party Trading:
You’re not allowed to share your account with others or let a third party trade on your behalf. This includes using third-party services for account management, as it goes against the principles of personal trading accountability.

Holding Trades Overnight and Over the Weekend

For those who like to hold positions for extended periods, FX2 Funding allows traders to keep their trades open overnight and even over the weekend. This flexibility is great for swing traders who might want to take advantage of long-term market trends without worrying about closing their positions at the end of the day or week.

News Trading Guidelines

While news trading is generally allowed on FX2 Funding, there are specific restrictions you need to follow. You’re not permitted to execute trades within 5 minutes before or after a high-impact news event. If you make any profits during this restricted period, those gains may be removed from your account. However, if you’re holding a trade for a longer period as a swing trader, this rule might be relaxed slightly, but caution is still advised.

Maximum Capital Allocation

FX2 Funding limits the maximum capital allocation to $300,000. This restriction is also applied to account combinations, meaning if you’re managing multiple accounts, their total capital can’t exceed this amount. This limit helps maintain risk management standards and ensures that traders don’t overextend themselves.

Trading Platforms Available

FX2 Funding offers three trading platforms: cTrader, MT5, and DXtrade. cTrader is their main platform, featuring direct quotes from multiple liquidity providers, which can offer better trading conditions. MT5 and DXtrade are white-label versions, with DXtrade branded as GooeyTrade. DXtrade also integrates with TradingView for advanced charting capabilities, which can be a valuable tool for technical analysis.

Banned Countries

FX2 Funding is not available to residents of certain countries due to regulatory restrictions. The banned countries include the United States, Canada, Afghanistan, North Korea, and several others. If you’re from one of these countries, unfortunately, you won’t be able to trade with FX2 Funding.

Conclusion

Trading with FX2 Funding can be a rewarding experience, but it’s important to follow the rules to avoid any penalties or bans. From understanding the commission structure and payment methods to adhering to prohibited trading strategies, knowing these guidelines will help you trade more effectively. Whether you’re trading Forex, Metals, or Cryptocurrencies, staying informed about these rules will allow you to focus on what matters most: making profitable trades.