All Forex Brokers are dishonest! Choose yours
- Thread starter f-man
- Start date
I am disagree with you all blaming brokers. I think that a scam broker is only a scam broker if he/she do not withdraw your money. Brokers are small fishes in the ocean, big fishes are controlling the prices of the currencies and they are not setting with brokers but in another floor of another building. Let me know please also how can broker cheat the trader? [ I have many accounts by different brokers. Once I open all trading stations in five notebooks & PCs, observe the rates which all are the same all the time, moreover I chat on live forex forum and asked the rates from different part of the world, but all were same. One or two pips is not a question]. You write that some broker have a special software or apps that let the trader to lose the money. I can't beleave that any broker or person have a magic app. that let the trader to lose money as market rates all over the world are same.
You enter the trade as you decide that it is a moment to enter, market change its direction and you lose the money. Will you blame to broker? Of course no. If I trade and lose the money because merket change the direction or my every trade is in minus, it means that I am just not pro. and I must agree that I am not smart to make positive trade.
Once I decide to trade with patience and with complete observation and to consider all corners and then to enter the trade. Result: within five month I was ca. +1000%. Then due to over confidence I was back to my initial position. I want to say that broker did not help me make money, but I was who dicide to trade as it should be.
My friends, don't blame the others they can't do any thing against you except not to withdraw you money. Rare cases are the stopped thier server, make it slow down, requote you orders and such cheap things, then change such broker and open an account with such broker that you have not to face atleast such cheaps matters.
If I am wrong then please let me know how a broker can do that trader lose the money? I write this artical not to heart some one, but realize the reality,which is, that every trade you are trading, negative or positive is your own decision. You are boss who deciding , what to do.
Please don't think that I am any agent from any broker but I like reality, truth & honesty, how much I can. Atleast I try it to do.
Honesty is a real indicator to make money in the market. (D-Trader)
Thanks
D-Trader
You enter the trade as you decide that it is a moment to enter, market change its direction and you lose the money. Will you blame to broker? Of course no. If I trade and lose the money because merket change the direction or my every trade is in minus, it means that I am just not pro. and I must agree that I am not smart to make positive trade.
Once I decide to trade with patience and with complete observation and to consider all corners and then to enter the trade. Result: within five month I was ca. +1000%. Then due to over confidence I was back to my initial position. I want to say that broker did not help me make money, but I was who dicide to trade as it should be.
My friends, don't blame the others they can't do any thing against you except not to withdraw you money. Rare cases are the stopped thier server, make it slow down, requote you orders and such cheap things, then change such broker and open an account with such broker that you have not to face atleast such cheaps matters.
If I am wrong then please let me know how a broker can do that trader lose the money? I write this artical not to heart some one, but realize the reality,which is, that every trade you are trading, negative or positive is your own decision. You are boss who deciding , what to do.
Please don't think that I am any agent from any broker but I like reality, truth & honesty, how much I can. Atleast I try it to do.
Honesty is a real indicator to make money in the market. (D-Trader)
Thanks
D-Trader
Boko Maru
Sergeant
- Messages
- 250
There are tons of examples and trader testimonies illustrating how a dishonest broker can fleece money from you. Check Forex Factory also for threads on this FXCM stuff.
As traders, we've all been told the whole "take responsibility" thing ad nauseum, and yes, it's very true that we are ultimately responsible for our trading and our results. But you are taking that too far if you think brokers don't employ "tricks" and/or deliberate methods to get your money. Just because a trader isn't taking responsibility doesn't mean the broker isn't also dishonest.
I traded live with these guys, and became convinced my trades were regularly being slipped to my detriment. I had no way of proving it, but was convinced it was occurring.
This is just ONE example of how a broker can deliberately work to defeat a trader, and reasons why they get away with it:
They get away with it is because they are very smart how they do it. Getting slipped to your detriment: if they slipped you on 100% of your trades, it would become obvious quickly and you would just leave. But what if they only slip you say 75% of the time? And what if the slips are only 1/2 of a pip? You might notice, but you'd probably think it was just your imagination, or "that's just trading", or whatever.
These people are not stupid; they aren't going to make it that obvious. They are very smart about how they do this kind of crap. I have no way of proving they did this to me, but at the same time I am 100% convinced it did occur. If you trade frequently enough and have been around the block a bit, you can intuitively tell after a while if a series of slips are "just trading" or if there's some other bullcrap going on. Again, no way to prove it, but apparently I'm not the only one with that experience.
Anyway, I'm rambling, but wanted to try and answer your question...
Jason Rogers
FXCM Representative
- Messages
- 517
Hi Boko,
I appreciate your concern. This information is publicly available listed on FXCM's website and the no dealing desk disclosure in the application for a forex account with FXCM. With NDD forex execution, no matter how much profit or loss a trade ends up with, FXCM earns the same amount of money -- the spread markup.
Slippage is a factor when trading any financial market, including a No Dealing Desk environment. In order for slippage not to occur, the broker has to control the trading environment. For example with a stop loss order, generally a trader is taking a loss when a stop loss order is triggered. There is no cost to a dealing desk to guarantee a stop because the dealing desk has already pocketed the original loss to begin with. In all financial markets, stop orders are treated as resting orders which, when triggered, are sent to the market to execute as the best available price, rather than at a "guaranteed" price. Some slippage is generally to be expected, and trading during volatile periods such as news events could exacerbate slippage. Market factors of supply and demand are at play.
-Jason
Boko Maru
Sergeant
- Messages
- 250
Hi Jason...well thanks for your response but what you are referring to isn't what I'm talking about at all. I am well aware of slippage, and I'm not at all concerned about "normal" slippage that is just a part of trading.
My concern is that I was being slipped to my detriment on a regular basis intentionally by FXCM. I don't how it would work, but if FXCM could pocket an extra 0.5 pips on every trade both in and out, it would mean a huge amount of money given the zillions of trades that are made there every year.
I appreciate your response, and I also understand your obligation to toe the party line as an FXCM employee. But what I experienced was not "just trading" or simply the natural occurances of slippage, fast markets, etc.
Why do I believe this? Two reasons: 1) the vast majority of slips and execution delays were to my detriment and not my benefit. If it was all just random market slippage, don't you think it would be around 50/50 (to my benefit as well as detriment)? 2) At my new broker, I don't experience anything like what I did at FXCM re, slips and execution delays. Why is that? Did the market just somehow change how it operates during the time it took me to switch accounts? You said above "market factors of supply and demand are at play." I agree, but why do you think they were at play to my detriment at FXCM, but somehow don't seem to be that way anymore where I am now?
Anyway, no real point to debate with you here, but your response was clearly a "boilerplate" one you've probably given a thousand times before, and I thought it appropriate to counter that with some real life experience rather than just talking about theory...
f-man
4Xangels Representative
- Messages
- 744
Agree with you, but "only" to 90%
Every trader has to agree with you, or else there is no meaning in keeping on trading.
For the average retail Forex trader, the worst thing is not to be able to withdraw his money. The problem is that in most cases, the trader realizes that he can not withdraw the money too late! Check the open cases in the Traders Court.
Further to that, there are a few tricks that Brokers are doing. In my opinion, they target the fat fishes and not the average retail Trader.
We had many strange cases in our Scam Alert Folder with Brokers having sudden huge spikes, extra large spreads and slippages.
Imagine a Market Maker sitting in front of the screen and watching a trade worth a few tens of thousands of dollars being 1 pip away from the Stop Loss.
Will he manipulate the rate to kill the trade? I bet on YES, how would you bet?
But coming back to what you write, I agree with you, that if you have a good strategy you will have profits. That's why you need to have your account with the least dishonest broker. To get your hard earned money out of there.
Every trader has to agree with you, or else there is no meaning in keeping on trading.
For the average retail Forex trader, the worst thing is not to be able to withdraw his money. The problem is that in most cases, the trader realizes that he can not withdraw the money too late! Check the open cases in the Traders Court.
Further to that, there are a few tricks that Brokers are doing. In my opinion, they target the fat fishes and not the average retail Trader.
We had many strange cases in our Scam Alert Folder with Brokers having sudden huge spikes, extra large spreads and slippages.
Imagine a Market Maker sitting in front of the screen and watching a trade worth a few tens of thousands of dollars being 1 pip away from the Stop Loss.
Will he manipulate the rate to kill the trade? I bet on YES, how would you bet?
But coming back to what you write, I agree with you, that if you have a good strategy you will have profits. That's why you need to have your account with the least dishonest broker. To get your hard earned money out of there.
Hi f-man,
Spikes, slippages & hunt the S/L are the favourite tricks of the brokers. As you write [Imagine a Market Maker sitting in front of the screen and watching a trade worth a few tens of thousands of dollars being 1 pip away from the Stop Loss.
Will he manipulate the rate to kill the trade? I bet on YES, how would you bet?
I am agree. But please let me here to explain:
What do you think, if you put a S/L(stoploss) 20 pips away from the entry point(As you read from many forex articles, put S/L 20 pips away), there is above 85% chance that will hit S/L, as 30 pips away from entry point and then further 50 to 100 pips away from entry point less chane to hit the S/L.(And T/P as soon as possible). The ball is in your court.
We know mostly(if not all but enough) tricks of brokers, now it is our duty to avoid or to build a such strategy that broker have no chance other then not to withdraw, or delete our account, then we have FPA which will help us.
We are greedy, we want to rich within a night. "Rom was not built in one day". We always enter as the market take a down or up move without considering that market can chage its direction, but we think only OH! this is the time to make money. Many brokers know that trader wil lose the money.
You write [That's why you need to have your account with the least dishonest broker. ] Honesty must be in our heart which will lead us to the broker who will return us our profit.
Thanks
D-Trader
Spikes, slippages & hunt the S/L are the favourite tricks of the brokers. As you write [Imagine a Market Maker sitting in front of the screen and watching a trade worth a few tens of thousands of dollars being 1 pip away from the Stop Loss.
Will he manipulate the rate to kill the trade? I bet on YES, how would you bet?
I am agree. But please let me here to explain:
What do you think, if you put a S/L(stoploss) 20 pips away from the entry point(As you read from many forex articles, put S/L 20 pips away), there is above 85% chance that will hit S/L, as 30 pips away from entry point and then further 50 to 100 pips away from entry point less chane to hit the S/L.(And T/P as soon as possible). The ball is in your court.
We know mostly(if not all but enough) tricks of brokers, now it is our duty to avoid or to build a such strategy that broker have no chance other then not to withdraw, or delete our account, then we have FPA which will help us.
We are greedy, we want to rich within a night. "Rom was not built in one day". We always enter as the market take a down or up move without considering that market can chage its direction, but we think only OH! this is the time to make money. Many brokers know that trader wil lose the money.
You write [That's why you need to have your account with the least dishonest broker. ] Honesty must be in our heart which will lead us to the broker who will return us our profit.
Thanks
D-Trader
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f-man
4Xangels Representative
- Messages
- 744
Well, we agree on everything now
You got my point and I got yours!I am not sure, by how many pips a Market Maker can manipulate the feed and hit your SL, but still to be in the "legal" tolerance.
I have seen cases with more than 50 pips, but then the traders start claiming to go back and "undo" the moves.
Maybe the reps of the brokers could inform us about the "tolerance" of a spike being legal or not.
Johnny2pips
Sergeant
- Messages
- 178
Yes, very interesting and all. I agree. But what if your broker places trades in your account that goes against you and you are unable to close them due to the "Close Trade" is shaded and cannot be closed?
This happens all the time.
I have 2 brokers and have had this happen with both.
Will get out of FX asap.
This happens all the time.
I have 2 brokers and have had this happen with both.
Will get out of FX asap.
FXCC
FXCC Representative
- Messages
- 22
Like most things in life, there are two sides to any argument.
Brokers and traders though have one thing in common. Both are in it for the profit at the end of the day.
Brokers want to make money from their investment, the same as traders want to make money from their investments.
The forex market is huge and getting bigger by the day. Offering a quality service at a sustained level of support and service can create a long-term and profitable business for a broker. Yes, Rome certainly wasn't built in a day. It certainly lasted a long time though.
Trying to build everything today can make you lose sight of tomorrow.
A solid brokerage is built on strong financials and a sustainable business plan. At the end of the day, a broker's TRUE asset are his clients.
Brokers and traders though have one thing in common. Both are in it for the profit at the end of the day.
Brokers want to make money from their investment, the same as traders want to make money from their investments.
The forex market is huge and getting bigger by the day. Offering a quality service at a sustained level of support and service can create a long-term and profitable business for a broker. Yes, Rome certainly wasn't built in a day. It certainly lasted a long time though.
Trying to build everything today can make you lose sight of tomorrow.
A solid brokerage is built on strong financials and a sustainable business plan. At the end of the day, a broker's TRUE asset are his clients.
