4evermaat
2nd Lieutenant
- Messages
- 2,708
Often times you hear stories of brokers like [fak] XeMarkets using virtual dealer plugin in some form or another to trade against their client so that they will lose. Either delay execution significantly, cancelling trades without notice, reject opening or closing of trades, or delay/refuse withdrawals requests. I will show you in a 2 part video series that clearly shows that XeMarkets did not execute orders in the best interest of their clients (e.g. immediately), in clear violation of MiFID regulations. Here is the first part:
These delays were way beyond acceptable execution times. I initially gave fak XeM the benefit of the doubt that it would return to the 300-500ms execution we were used to. But that proved to be fatal as all of the earned profit and some of the UN-withdrawn deposit money was lost when the slippage proved too great and leveled the account. Here is the 2nd half which explains the likely reason why it happened:
Another smaller micro account (like $100 USD or so) with [fak] XeMarkets was trading the exact same strategy at the same time, without any manipulation in fill times, and entries/exits worked just fine. This was further proof that XeM was full of crap with the execution of the larger acct (which was > $6000 AUD at the time).
I will attach here a copy of the FPA performance test of the larger account that was busted. You can see that it was almost doubled and then the insane delays/slippage kicked in, facilitating the demise.
All is not lost. I can then do so more performance tests with FPA (with more credible brokers) and other traders would have learned what to look for also.
So many memories as I was preparing the videos and first article to turn it into a learning experience for others. The slippage got up to 6 minutes last look periods (different client, even larger account). It looks like they have re-branded from XeMarkets to XM, but their internal dealing operations have not changed. After conversation with several traders and other professionals in the industry, I certainly wouldn't deposit or refer anyone to such a broker.
It took so long to get the videos uploaded because the original laptop that had all the evidence stored had crashed and the hard drive wasn't recovered until a couple of years later. Then the time needed to be set aside to recover as much as possible and produce the video. I'm just glad that I was able to recover it....so it wouldn't be just another trader ranting but without proof.
These delays were way beyond acceptable execution times. I initially gave fak XeM the benefit of the doubt that it would return to the 300-500ms execution we were used to. But that proved to be fatal as all of the earned profit and some of the UN-withdrawn deposit money was lost when the slippage proved too great and leveled the account. Here is the 2nd half which explains the likely reason why it happened:
Another smaller micro account (like $100 USD or so) with [fak] XeMarkets was trading the exact same strategy at the same time, without any manipulation in fill times, and entries/exits worked just fine. This was further proof that XeM was full of crap with the execution of the larger acct (which was > $6000 AUD at the time).
I will attach here a copy of the FPA performance test of the larger account that was busted. You can see that it was almost doubled and then the insane delays/slippage kicked in, facilitating the demise.
All is not lost. I can then do so more performance tests with FPA (with more credible brokers) and other traders would have learned what to look for also.
So many memories as I was preparing the videos and first article to turn it into a learning experience for others. The slippage got up to 6 minutes last look periods (different client, even larger account). It looks like they have re-branded from XeMarkets to XM, but their internal dealing operations have not changed. After conversation with several traders and other professionals in the industry, I certainly wouldn't deposit or refer anyone to such a broker.
It took so long to get the videos uploaded because the original laptop that had all the evidence stored had crashed and the hard drive wasn't recovered until a couple of years later. Then the time needed to be set aside to recover as much as possible and produce the video. I'm just glad that I was able to recover it....so it wouldn't be just another trader ranting but without proof.