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.
  • Opening multiple trades at the same entry, and then closing them at the same price.


To ensure fair market conditions and the integrity of the LivvFX trading environment, certain trading strategies and behaviors are strictly prohibited. LivvFX reserves the right to review, investigate, and take action against accounts that engage in any activity deemed to exploit platform infrastructure, pricing systems, or market latency.


Arbitrage Trading

Arbitrage trading refers to taking advantage of price discrepancies between different brokers, exchanges, or liquidity sources. This includes executing trades on LivvFX based on price differences observed on other platforms or external feeds in order to capture risk-free or near risk-free profit. Any trading strategy designed to exploit cross-platform price differences is strictly prohibited.


Latency Exploitation

Latency exploitation involves placing trades that take advantage of delays in price feeds or platform updates. This may occur when a trader enters or exits positions based on a known delay between the actual market price and the price displayed on the LivvFX platform. Executing trades using stale quotes, delayed pricing, or external market data to gain an unfair advantage is not permitted.


Abnormal Trade Execution Patterns

Trading behavior that demonstrates consistently abnormal execution patterns may be flagged by the platform’s risk monitoring systems. This includes, but is not limited to:

Repeated entries and exits at near-perfect price points during rapid market movements

High-frequency scalping designed to exploit momentary pricing delays

Opening disproportionately large lot sizes relative to account equity for the purpose of exploiting short-term pricing inefficiencies

Rapid opening and closing of multiple positions within milliseconds or seconds to capture price feed delays


Platform Manipulation or Exploitation

Any attempt to manipulate, abuse, or exploit platform systems, including pricing mechanisms, order execution processes, or technical infrastructure, is strictly forbidden.


Enforcement and Actions

If LivvFX determines that an account has engaged in prohibited trading practices, the company reserves the right to take one or more of the following actions at its sole discretion:


Cancel, adjust, or invalidate trades and/or profits generated from prohibited activity

Reverse or remove profits deemed to have been obtained through unfair trading advantages

Restrict or suspend trading privileges

Temporarily or permanently terminate the trading account

Withhold or adjust withdrawals associated with prohibited trading activity pending investigation


Monitoring and Compliance

All accounts are subject to automated and manual review by LivvFX’s risk and compliance systems. By using the LivvFX platform, traders agree to abide by these rules and acknowledge that any trading activity deemed to violate these policies may result in corrective action without prior notice.


LivvFX maintains a zero-tolerance policy toward strategies that undermine fair market conditions and reserves the right to interpret and enforce these rules to protect the integrity of the platform.


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 actual deposit will be refunded in full to your registered wallet or payment method.
  • Profits or losses from prohibited trades will 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.