forex-scalping.com

If you're with a US-regulated broker, the NFA's FIFO rule means that positions in the same instrument must be closed in the order they were opened. Hedging the same pair in one account isn't allowed either. Traders coming from offshore or EU accounts often don't realise how much this changes.

Styles that run into trouble:

• Scaling in with separate stops. If you add a second EURUSD position with its own tighter stop, FIFO forces the first one to close first. Your carefully planned exits end up in the wrong order.
• Hedging during news as a way to "lock" a position isn't possible.
• Grid and some EAs built for MT4 with independent tickets break or behave unexpectedly.

Workarounds people use:

• Slightly different position sizes (for example 0.10 and 0.11), which some platforms treat as separate positions. Check your broker's interpretation before relying on it.
• Managing the position as one: add and reduce volume, with one stop for the total.
• Using a second sub-account for a separate strategy.

For simple scalps with one entry and one exit, FIFO is almost irrelevant. It's the more complex management styles that suffer.

Any US-based scalpers here? How did you adapt your management to FIFO?