I just received an email from both my fx brokers telling me the cftc has changed the margin again from 1:100 to 1:50 and new rules start Oct 17th. And when I started trading FX over a year ago it was 1:400 margin.
Not that I advise trading on this much risk, I do find it inappropriate for them to tell people what is the best way to use their own money. I also find it inappropriate to single out FX...the Euro does good to move .5% in a giving day which is where the high leverage is needed to get the bang for the buck. Where as its not uncommon for bonds to move +2% My broker lets me trade 5 year treasuries at $200.00 a contract....that's $200.00 to control 100k that's a whooping 1:500 margin...I can also trade the YM at $400 that's 1:135 margin, and options are even better where else can you get a contract (pegged on 100 shares of SPY) for around $150? The margin at my broker for 6E (Eur/Usd futures) is $1,100 to control 125k. It seems the government is at war with the Forex market.
Of course this may be a good conspiracy for some that the cftc is worried of losing business to the fx markets that they want to make the futures more appealing.