Discuss GOMarkets.com (Was GOMarkets.com.au)

[Pharaoh]

I'm still wondering why Go Markets would totally discountinue a commonly traded pair.

If that peg is altered, all CHF pairs could go wild. Reducing leverage on all CHF pairs makes sense. Increasing free margin requirements for those holding trades on CHF pairs makes sense. This could have been done in several steps in the days leading up to the expected announcement so that traders could make their own decisions about what to do.

 

[RP1]

From this scam forum I can see that there is a bit of confusion regarding the reasons why GO Markets is discontinuing the EURCHF, hopefully this clears things up a bit.

As a company we do not like taking such extreme actions but in some cases it is necessary to protect the clients.

Over the last 2 weeks a handful of our clients have been taking a long position on the EURCHF, the majority of these clients are highly leveraged with stops just below the SNB cap of 1.2000.

We DO NOT know what is going to happen in the future with the EURCHF and the SNB cap, but as you are aware as a STP broker (we are not a market maker) all client positions are held with our liquidity providers.

If the SNB do remove the cap the likelihood would be the EURCHF would significantly gap lower (anywhere as low as 0.9950) this would result in clients being in large negative equity and owing large amounts of money to us and in turn to the liquidity providers. As an example if a client has a USD10,000 account, has leverage of 100-1 and the cap was removed over the weekend, EURCHF opens up at 1.0000 the client would be in negative equity USD200,000.

Consequently the vast majority of these clients will become a bad debt and not pay their negative account balance back.

As a STP broker we will also be in margin call with our liquidity providers for the same amount of funds. If the SNB increases the cap and the market moves up to 1.25000 our clients will profit, and so too will our equivalent positions with the liquidity providers.

At the end of the day we are trying to protect the company and our FULL client base from an extreme market event. Such events can easily make companies bankrupt if the positions are unmanaged. By taking this course of action we are acting in the best interest of our clients and doing exactly what our regulator would expect from a reputable firm such as GO Markets. The companies you should be concerned about, are those who are not protecting their clients from such extreme events.

Hopefully this helps but if it doesn’t make sense and you have some further questions please contact me on +61399344500

Rupert Kain

And there you have it ladies and gentlemen. Go Markets have just admitted so much in that post about what sort of a broker they are you just have to read between the lines.

Also this first line of your post " From this scam forum..."

So your saying FPA is a scam forum ? This forum is a place where scammers are exposed and put to shame.

Rupert , perhaps while your here I wonder if you would be so kind as to explain the earlier posts on this thread where spikes are show on your companies charts but not on others?

 

[Pharaoh]

Parts of this thread were originally in the Scam Alerts folder, so I don't think "scam forum" refers to the FPA so much as to the Scam Alerts folder.

I am curious about the spikes RP1 mentions and still would also like to see my posts addressed.

 

[FXCobra]

I'm still wondering why Go Markets would totally discountinue a commonly traded pair.

If that peg is altered, all CHF pairs could go wild. Reducing leverage on all CHF pairs makes sense. Increasing free margin requirements for those holding trades on CHF pairs makes sense. This could have been done in several steps in the days leading up to the expected announcement so that traders could make their own decisions about what to do.

Gomarkets action is obvious, "trading against its clients". The timing was more than suspicious. They warned clients and eurochf went up to 1.2155 and is now up. All clients who had positions near the peg could had benefit from that spike but Gomarkets diminished their chances by getting them afraid of it closing all positions.
Like you said, other options could had been represented despite it will also be illegal to lower leverage but increasing fee margin would be good.
Other than advice clients, the broker have nothing else to do, just like many brokers had advice its clients at Greece Voting day to warn from possible eurousd weekend gap when market open. That was more dangerous event than eurochf peg but no broker told clients to close positions.

 

[FXCobra]

Parts of this thread were originally in the Scam Alerts folder, so I don't think "scam forum" refers to the FPA so much as to the Scam Alerts folder.

I am curious about the spikes RP1 mentions and still would also like to see my posts addressed.

You are a Good Heart person Pharaoh, far of conspiracies. Gomarkets language was tricky, manipulate, but also Clear for us to understand its meaning

Some brokers had been making spikes down for eurochf from time to time under the 1.20 peg to hunt clients stop losses that are most set at that area few pips under the peg.
Gomarkets confessed that in its representative last post, excusing their decision because clients have many positions high leveraged with stop loss right under the peg.
Other brokers had no reached price of eurochf under 1.2005 from long months ago which proves brokers like gomarkets SCAM.

Not to forget, gomarkets failed the first test they had put for themselves of their 'weekend gap' excuse but we at FPA are more generous to give them the full this week to prove us wrong.

Counting did not stop. 2-3 days to go gomarkets

 

[FXCobra]

GoMarkets obliged its clients to close all Eurochf positions before 10 September or the broker close the positions itself.
Gomarkets gave a reason to its decision of "protecting clients accounts" because SNB maybe remove the peg.
We at FPA gave Gomarkets the full this week to prove us wrong but that did not happen.
Gomarkets proved itself a Total Scam Broker because no worse timing to take that decision than now, which add to the suspicious decision that proves Gomarkets trading against its clients.
I advice all Gomarkets clients to withdraw their money before getting scammed by this broker like had done to its clients with eurochf positions.
SNB did not remove the peg and Eurochf reached 1.2177 so far, that caused Gomarkets clients to loose huge money resulted from the broker suspicious decision.

Be aware people, do not open an account with Gomarkets Scam Broker

FPA is proud to give Gomarkets the Scam Broker Trophy

 

[ToonyMoon]

GO Markets has more server drop outs. was offline for 2 hrs last night and an hour the night before. Disconnections all day today.

Stay away from GO Markets.

 

[Austrader2012]

What is the difference between the banks and brokers manipulating the market during news or big moves compared to this arbitrage ea. The brokers are quite happy to let you loose your money. There is definitely market manipulation. And then over weekend we see massive gaps!!!!!
I did complain once about this saying I had lost money but was told that the company had suffered a dns attack. Did they protect me, no! Did they reimburse me, no! Why is the broker vulnerable to dns attacks and what can be done to protect customers from this. What happens If you get shut out of a trade due to a failure of the brokers platform?

 

[Austrader2012]

A small update here. I have spoken to Rom today. He is being very patient and taking time to look at my concerns. NB they are updating to a new automatic deposit and withdrawal feature which sounds like to it will be better than the current system.

 

[Dave_C]

Would just like to add my support for Rom and GoMarkets in general.

I have been a customer since their inception and have always found the company to be extremely ethical and outgoing in their replies to any queries that I may have had. Rom is a great asset to the company.

Over the years we have discussed contentious issues and I have always accepted the outcome in full understanding of their position. In particular, their honesty is impeccable and I have never felt any other attitude other than the customer is king. You can't say that about many companies these days.

To those that may have issues, you need to discuss them openly with GoMarkets as I am sure that you will always have an open and fair communication channel.