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Forex4you closed all my EURCAD in 0.9992 !!! (E-Global Trade & Finance Group)

Discussion in 'Scam Alerts' started by amiroo, Oct 19, 2010.

  1. amiroo

    amiroo Recruit

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    I am a long term trader I had 3 long EURCAD positions since 1 month ago (open prices: 1.3110, 1.3187,1.3366) all of them in profit. Yesterday I checked my account 3-4 times everything was ok. Balance was 3100$ profit was 21000$ but when I woke up this morning, I see equity of zero!!

    The account history shows that all EURCAD orders were closed at 0.9992 the invalid price never seen in history!!!! the minimum price for october 18th 2010 is 1.4109 in most brokers even in forex4you server. my account has gone into balance -80,000$ !

    I used online chat and emailed them. They keep saying I've been Stopped-out! How this occur when according to their own statement, the margin requirement is 1637$ and I have 23000$ available margin?!?!

    Even if I stop-out, at what price should this occur? at a never seen price of 0.9992 ????

    I set stop-loss at 1.3650 even if they closed all my orders at this price they were still in profit!

    [​IMG]
     
    #1 amiroo, Oct 19, 2010
    Last edited: Oct 19, 2010
  2. Pharaoh

    Pharaoh Colonel

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    Contact them again. Tell them that if the price had really fallen to that level, you would have been stopped out. Since the price was THOUSANDS of pips away, ask them to explain those closing prices.

    The only logical explanation is that there was a bad price tic. If the broker is competent, a couple of complaints should get an investigation that will result in your trades being restored.

    Let us know how they respond to another round of contact.
     
  3. Ana-Maria G

    Ana-Maria G Private

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    the end of the story?

    What was the end of this story? Thank you.
     
  4. Romeo

    Romeo Sergeant

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    I would also like to know the end of the story.
    Too bad that amiroo didn't update on the case...
     
  5. Ana-Maria G

    Ana-Maria G Private

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    Forex4You

    I trade with them lately. They was a pleasant surprise, at least for the moment... I had to wait more since 8 of April until 27 of April to get my money on MetaTrader even if I used VISA card, I was sad for that, I was almost sure that they are a scam, but it seams that it was something wrong about their bank. After receiving money to trade everything was fine. The platform is moving a little bit slow but no errors, no requotes. And they answer very nice to questions. The truth is that is very difficult to believe all the reviews. Most of them might be true but I still hope that not all the forex firms are scams. We'll see.
     
  6. Romeo

    Romeo Sergeant

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    For sure NOT ALL Forex Firms are scam!
    Most of them try to earn as much as they can using sometimes unfair tools, but there are many STP brokerages that are not your direct opponent on your trade.
    You just need to be very careful and alerted all the time!
     
  7. MichelAnge21

    MichelAnge21 Sergeant

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    Ana

    There is something that I dont understand here. You say that you were scammed by Figfx and that is a NON-regulated broker. That means you really wont ever be able to do anything. Now, you opened an account with another NON-regulated broker. Do you realize that there are forex brokers that are severely regulated and with them your money would be totally safe ? Why did you decide to take a risk a SECOND time ?

    You sent your money away on FAITH alone this time again. Maybe your new broker is honest or maybe he is not...but you have NO GUARANTEE one more time. A real GUARANTEE is when your broker is regulated by such strict regulations as that of the CFTC ( USA ), the FSA ( Great Britain ). ASIC ( Australia ) and other similar STRICT regulatory bodies. The first thing to ask to your new broker would have been: " Why are you incorporated in the British Virgin Islands and your main office is in Russia ? ( The British Virgin Islands are an offshore location with very little regulations ) ". Another question: " You have an office in Great Britain, but you cannot accept clients from that country. How come ? " ( they dont have a FSA licence ). Another question: " You have an office in Latvia and Latvia is now in the european union. Do you have a licence from MIFID ? ( european licence ). Another: " Is Forex regulated in Russia ? ( No, it is not ). Another question: " Will my money be put in a SEGREGATED account separate from your company s own capital ( No, it will not be no matter what they answer you ). Last question: " If I have a dispute with you, what will be the ARBITRATION body between you and me ( None, they are not regulated by anybody. If you have a problem, they ll say : " We decide. Now, sue us if you re not happy " just the same as with Fig...).

    Compare your situation with mine. My broker is in Australia. I verified with ASIC that his registration was valid. My money is in a segregated account. That means that, even if my broker declares bankruptcy, my money cannot disappear. ASIC also has a compensation scheme to protect my capital. If my broker cheats me, I would complain to ASIC that can impose stiff penalties to brokers. They would take care of the matter instead of me being totally left alone as you will be in case of a dispute. Think about it.
     
    #7 MichelAnge21, May 18, 2011
    Last edited: May 18, 2011
  8. Ana-Maria G

    Ana-Maria G Private

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    Brokers

    I use only very small amonts of money and I test many brokers. I don't know what to think anymore about this market... You see I like MT4 from FXCM, but how could I invest 2000 USD with them when they have so many bad reviews? Regulated or not, I must try them first with small amonts. I also trade with Interbank. I love their platform but who knows? I didn't withdrawal yet... All I know is that I do like forex and I will keep on searching.

    Please send me the name of your broker. I noticed that Australia and New Zealand has a good system for complaints about scams. I hade a complaint about Roboforex and my case is under investigation, even if they gave me back a part of my money. Maybe is not such a big deal but I like that this organisation cares about clients: Home | Financial Markets Authority I got no answer from Cyprus, for example. Cyprus Securities and Exchange Commission

    Anyway, I recommend it to all: List of financial regulatory authorities by country - Wikipedia, the free encyclopedia

    With Figfx I lost less then 100USD, the biggest problem is that I don't know who they really are and they have my ID card scanned, my passport too. My VISA card, my security code... I could change it, but I am very curious if they will try something about it. They have a spring offer: 5% bonus if you use your credit card. Strange enough for me.

    Thank you for your opinion. It really helps because I don't have so much time to search on Google. It is just a hobby for me, not a job.
     
  9. MichelAnge21

    MichelAnge21 Sergeant

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    Ana

    It s not enough if a broker is LOCATED in a " safe " country. My first broker was " located " in Ontario, Canada, but I later found out that they never REGISTERED with the Ontario Securities Commission ( OSC ). It s like driving a car. The Law says you need a driver licence, but you can still drive without a licence until they CATCH you. Always check they DID register.

    It s true that clients complain about FXCM like " stop-hunting " and stuff like that. And I know FXCM was at least once fined by the CFTC. But can you find ONE client from FXCM who says " FXCM stole all my money " or " FXCM s website is down and I cannot communicate anymore " like the stories you read here about UNREGULATED brokers ? Do you see ONE regulated broker among those the FPA declared to be scams ?

    I dont know about those complaints against FXCM, but clients have better recourse than posting bad reviews here if they were cheated. They have the CFTC to go to. FXCM once paid a 100 000 fine and it was for some minor offence. Can you get Figfx to pay such fine ? No, you cannot. The CFTC is suing Figfx for operating WITHOUT a licence in the USA, but I m sure Fig will never pay because they put themselves out of reach.

    I also think that most complaints against FXCM are not justified. There are new traders who look to blame their broker when they lose money even if it s their own fault.

    There are regulated brokers that accept small accounts. I think mine does ( Gomarkets ). There are some in Cyprus that do also. Cyprus does not have the best reputation but, if they have their CYSEC licence, they are regulated ( CYSEC isn t the best regulatory body around, but they improved to meet EU standards ).

    New Zealand isn t as safe as you think because they have an " offshore " sector. Those that are " offshore " there do not even have the right to accept clients from New Zealand. If you chose a broker located there, check if they are licenced to accept New Zealanders. In most cases, you ll see they accept only foreigners...that s a red alert. Australia is safe as long they have the ASIC licence.

    I will tell you about this market: it is the best place ever for unscrupulous people because it is an OTC market ( over the counter ). That means there is no central Bourse that controls transactions and no central clearing house.

    Last thing. If they offer generous bonuses and very small spreads and no commission, those are the ones to avoid. You should wonder HOW THEY MAKE A PROFIT then. Those will have to benefit from your losses in some way. Even if they declare to be STP, where s the proof ? If they are unregulated, they can lie if they want.

    Hope this helped. Good luck in your trading.
     
    #9 MichelAnge21, May 18, 2011
    Last edited: May 18, 2011
  10. Ana-Maria G

    Ana-Maria G Private

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    Brokers

    If you say so... I would be glad to trade with FXCM and Go Markets. I made 2 real accounts with these 2 firms too, but I didn't deposited. And after reading so many bad reviews lately about them I asked them to close the accounts for the moment because I am not ready. I will keep on testing them on demo for some time. Thank you for your advice. In Romania there are only a few firms, bad conditions to trade... I will think about what you said.
     

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