Conspiracy Theory - Hotforex Scammed me $14770.25 - Because I gave myself a margin call

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Ed_Forex

Private, 1st Class
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Definitely Mr. trifle micro account, scammer hotforex paid you to defend it.

Hurry up scammer hotforex have another payment for you, go collect it, doll!!
 

Ed_Forex

Private, 1st Class
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240
scammer hotforex said: We will therefore stop any further communication with you regarding this matter as we consider this case as closed.

Hey are you drunk? any what?? the last communication was back to 16/1/2015, hotforex was supposed to reply by compliance department after 72 hours, maybe there hours calculation = 3 weeks!!

scammer hotforex said: Having a sizable long position in EURCHF during the 'black swan' events surrounding the CHF move and then claiming that you should still have a balance of $xx,xxx is ludicrous and defies basic logic.

exactly, sizable for hotforex B-book because hotforex don't pass clients orders to any LP because hotforex is a market maker, not a single LP.

Very clear how to define a scam broker like hotforex, it replies with words and sentences that are empty of any legal meaning.

Tell me hotforex, where can you exchange black swan event from the legal view??

Prepare your papers well to defend yourself by liquidity providers data feed if there are firstly any LP's!!!

Why is hotforex very afraid of emails sent to regulators??? This is my legal right, scammer hotforex can't prevent any client from it.

I already took legal measures against hotforex for breach of contract and will continue to defend myself from hotforex offensive personal words toward me that are recorded on this thread for the public and regulators to read.
 

alfexcy

Private
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13
I just feel sorry when i see such poor minded people posting BS on otherwise good forums like FPA.
You didn't answer my question as to who had a big sized trade and didn't get paid.
What a retard! Anyway, i'm out. Never replying to this thread again nor try to help you understand basic trading concepts. Either you fail in understanding common logic as the broker said or you are just here badmouthing a good broker (from my experiences with trading with them) for free money in return. Either way, it's just a shame..
 

Ed_Forex

Private, 1st Class
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240
Common logic for you and scammer hotforex is cheating clients by hiding behind empty paragraphs that have no legal meaning.

Go take your free money from your scam hotforex broker.

I prefer to take my rights fully from the legal side.
 

Pharaoh

Colonel
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19,892
I think the core of this issue is a communications problem.

You deposited $30k and got a $30k bonus. The most you can lose is $30k (plus any profit gained and not withdrawn). This doesn't mean that if you lose $30k, that's your bonus. What it means is that if you go negative $30k, you've just wiped out your account. At that point, the bonus will be cancelled. The only way around this is if your trading volume meets all the terms to make the bonus more than a "temporary loan" and it becomes real, withdrawable money.

Virtually all brokers operate this way on bonuses.
 

joneslds

Corporal
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87
Basic traits of a gambling Forex trader:

• Has no trading edge or effective trading strategy
• Doesn’t have or use a trading plan
• Doesn’t have or use a trading journal
• Pays little to no attention to risk management
• Spends most of their time focused on profits and rewards
• Often feels intense emotional ups and downs while trading
• Often holds trades in blind hope of unrealistic profit targets
• Trades far more often than they should

Basic traits of a professional Forex trader:

• Mastered an effective trading strategy like price action
• Has a Forex trading plan and uses it
• Has a Forex trading journal and uses it
• Focuses on risk management and on controlling risk on every trade
• Not overly-focused on profits and rewards
• Trades only when their trading edge is present.
• Does not become emotional over a win or a loss
• Treats their trading like a business

In trading, we have the possibility to do almost unlimited financial damage to ourselves. There are basically no rules in the trading arena, it’s just you versus you, and the winner or loser will be you. Sure, you can think you’re trading against other market participants, but in reality you are trading against yourself. You are the one who determines whether you make or lose money in the markets.
 

Ed_Forex

Private, 1st Class
Messages
240
Wrong thread to post education material. Post it in another appropriate section of FPA.
 

Ed_Forex

Private, 1st Class
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240
I think the core of this issue is a communications problem.

You deposited $30k and got a $30k bonus. The most you can lose is $30k (plus any profit gained and not withdrawn). This doesn't mean that if you lose $30k, that's your bonus. What it means is that if you go negative $30k, you've just wiped out your account. At that point, the bonus will be cancelled. The only way around this is if your trading volume meets all the terms to make the bonus more than a "temporary loan" and it becomes real, withdrawable money.

Virtually all brokers operate this way on bonuses.
The most that I can loose is $30K like you said, when floating loss exceed that amount, it means I already lost the bonus amount.
You concluded too: What it means is that if you go negative $30k, I don't think you meant my account must go to negative balance to have lost -30K!!!

It's not a communication problem but failure of hotforex in applying its policy.

What is the legal meaning of this paragraph?? :

if volume requirements are not met and the equity of the account goes below the bonus
amount then the bonus is removed automatically by the system. In other words, if the
Cash Equity (Equity - Credit Bonus) becomes zero or less, all previously awarded Credit
Bonuses will be cancelled and withdrawn from the respective Client’s account. In these
circumstances the Company shall not be liable for any consequences of the bonus
cancelation, including, but not limited to, order(s) closure by Stop Out.

Actually nothing!!

The legal authority found in this paragraph:

f account equity falls below margin requirements, the HotForex Trading Station will trigger an order to close all open positions. When positions have been over-leveraged or trading losses are incurred to the point that insufficient equity exists to maintain current open positions, a margin call will result, and open positions must be liquidated.
Please keep in mind that when the account's useable margin reaches zero, all open positions are triggered to close. The margin-call process is entirely electronic, and there is no discretion on HotForex's part as to the order in which trades are closed. Such discretion would require HotForex to actively monitor positions and accounts.

This paragraph full of legal authorization words for hotforex "must" apply.

Many are forgetting the importance of margin policy.

Can any brilliant or logic thinking person explain how an account runs on negative margin???

When that happens(free margin goes even if $1 below zero), clearly the client have already used the whole margin of the account within the bonus margin, this is named over leveraged, even over the actual leverage of account that is 1:400 in my case. This id also mentioned in hotforex margin policy"When positions have been over-leveraged"

To remind too that hotforex bonus policy says: client can't get more than the $30K max. bonus but in this account hotforex gave me more than double and triple of that $30K, so what respect of policy hotforex talking about.

Basically, margin policy is what matters in trading, not leaving account to negative territory balance that by itself breach the contract and make hotforex responsible for the losses.
 

Pharaoh

Colonel
Messages
19,892
Allow me to try again:

You deposit $30k. You get a bonus of $30k.

Until you meet the requirements to withdraw that bonus, the most you can lose is $30k - the SAME $30k you deposited, not the bonus $30k. If you do this, the $30k bonus disappears (along with any other bonuses you may have received). Losses apply to YOUR money first, not to bonus money. This only changes if you meet the very difficult requirements to turn the bonus money into withdrawable cash.

If you had a large net long position open on the EURCHF, the most likely result is that price plunged so quickly that your entire non-bonus balance evaporated and even went negative before the margin call system could force a closure.

I can assure you that there is no broker out there which will provide you with a 100% matching bonus on $30k net deposits and allow you to just "lose the bonus" and retain your deposit funds. If you think you've found one, invite them to join this thread and explain how they stay in business.
 

Ed_Forex

Private, 1st Class
Messages
240
You said it: "the most you ca lose" but not necessary that I must loose it and that don't exclude hotforex from applying its margin policy.

If hotforex applied it, my "large net long position"(it's 3 positions) as you said could had helped in lessening the loss due to margin requirement on over leverage.

"went negative before the margin call system could force a closure" What margin system is that, it does not exist in hotforex and it's hotforex responsibility for failure of its system not the client.

The biggest questions all who defended the broker fail to answer, why the existence of margin policy then? how account can run on negative free margin without all orders get closed?

Another note: after withdrawals of profits I actually lost the $30K max. of bonus give per account as its bonus policy say, hotforex kept adding $30K bonus to my account.

For example: for same account, I deposited 15K, got 15K bonus, turned it to 60K, withdrew profits of more than the 15K bonus, bonus got removed due to withdrawal, the money left in account 30k or more hotforex added another $30k bonus, made profits withdrew $30K or more, bonus removed, and then added so on..Where is the max. $30K bonus in hotforex policy then??? isn't this breach of contract.

It seems you're not getting the point, the bonus is included within the equity and balance, not separated from, so when I'm trading, am using the whole margin within the bonus one too, on over leverage the system must close orders to limit over leveraging, not letting used margin to go below zero.

If free margin and margin level not important, then leverage of 1:400 is also not important, why the existence of all!?!!

Any client can now open for 10K account 100 lots free margin and margin level go below zero% and money, but account still running!!!
Is this normal in trading for any common sense trader??
 
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