Prohibited Trading Styles
At LivvFx, the integrity of our brokerage and the sustainability of our liquidity relationships are our highest priority. To maintain a fair and stable trading environment for all participants, certain trading styles are strictly prohibited on our platform.
Any client or Introducing Broker (IB) engaging in or benefiting from these prohibited practices will be subject to immediate action as outlined below.
High-Frequency Trading (HFT)
Definition:
High-Frequency Trading (HFT) refers to opening and closing trades at extremely high speeds, often within seconds, using oversized lot sizes. This style is designed to exploit minor price movements and typically generates unsustainable trading volume.
Why it’s prohibited:
- It creates excessive risk exposure for the broker and our liquidity providers.
- It distorts normal trading flow and places undue stress on our systems.
- It results in unsustainable payouts to IBs, disconnected from real net revenue or client growth.
Examples of HFT behavior that are not permitted:
- Opening very large lot sizes (e.g., 10+ lots) and closing the trade within a few seconds or a handful of pips.
- Repeating this process multiple times per session to generate artificial volume.
- Using latency, scalping, or “toxic flow” strategies that exploit the broker’s execution environment.
Oversized Lot Scalping
Opening oversized positions for a few seconds with the intent of capturing only 1–5 pips repeatedly is considered a form of HFT and is strictly prohibited. This trading style is not sustainable and is outside of LivvFx’s risk management policies.
Introducing Broker (IB) Policy
If you are an IB, please note:
- Any commissions earned from clients who engage in prohibited trading styles will be revoked.
- IB payouts are subject to compliance review each month.
- IBs are expected to bring sustainable value through deposits, client growth, and healthy trading activity, not through toxic or prohibited trading styles.
Client Policy
If you are a client:
- Accounts found to be engaging in prohibited trading styles will be immediately closed.
- Your remaining balance will be refunded in full to your registered wallet or payment method.
- Profits or losses from prohibited trades may be deemed invalid under our Terms & Conditions.
Enforcement
LivvFx manually reviews accounts and IB commissions on a regular basis to identify prohibited activity. While certain platforms such as TradeLocker may not automatically block these trades, LivvFx retains full discretion to close accounts, revoke IB commissions, and reject trading styles deemed harmful to the brokerage or our liquidity providers.
This policy is final and applies universally to all clients and IBs.