Discuss HFM.com (was HotForex.com)

[Romeo]

Hello,

Matter has been resolved between us.Hotforex is genuine broker and trustworthy.
I request you to please avoid my earlier review.
Thanks

Nice to hear that.

 

[henyo]

hi there, Been trading forex for a while, when using a broker i tend to stick with their demo around 3 months maybe, given that I have tried live trading before, with hotforex I stayed a bit longer with their demo before going live haha, staying with demo helps you know your broker but importantly its a lot safer to study with than live account, stick with demo you can practice as long as you treat is as a real account, set your starting balance as close as possible to the amount you are really willing to trade and try different strategies until you find your self comfortable with a certain trading style, that way you would avoid making mistakes, 6 months is good, but at time its better to stay longer specially if studying forex is not that constant due to day jobs/school etc. best of luck

 

[dogbreath]

I just wanted to let people know...they need to understand the 50% bonus thing CLEARLY !!

The bonus creates an ILLUSION that you have money in your account....money that is not there! You will then get an unexpected margin call when hotforex unexpectedly removes your bonus from your account.

I did my best to make sure I understood it....apparently I was not prudent enough....I just don't want to see other traders lose all of their savings as I have.

The following is a transcript of me trying to understand how it works...I hope somebody will benefit from it.

___________________

Please wait. A representative will be with you shortly.
One moment please...
Brian says:
Hello dogbreath. My name is Brian how can I help you?
dogbreath says:
Hi Brian...one more question.
dogbreath says:
I just want to be absolutely clear on the bonus program....I do not get a margin call until the "free margin" hits zero? Correct?
Brian says:
what account do you have
dogbreath says:
2**** not sure which bonus program it is on.
Brian says:
the free margin is what have left to open a new position when you have another open position
Brian says:
your margin call is 50 %
Brian says:
of your margin
dogbreath says:
so on mt4 if my "Margin level" gets to 50% then the server closes all my open trades?
Brian says:
no this is a warning then when your trade goes to your stop out level then at 20% then you trade will close
dogbreath says:
Hmmm....I dont understand.....what should I be watching on my screen....to avoid a margin call and the closing of all my open trades?
Brian says:
use your stop loss option
Brian says:
so you can limit your loss
dogbreath says:
hehehe....yeah.....but if I do not have any stoplosses on any of my trades....what should I be watching on my mt4 to show me when it is going to close all the trades?
Brian says:
if your margin is 1000 usd then your stop out will be 200
dogbreath says:
how are you calculating that? On other brokers if my "free margin" get to zero...it closes all the trades.
Brian says:
your free margin tells you the margin you have left over to open another trade
dogbreath says:
ok....so what tells you that all your trades are going to close?
Brian says:
what platform have you used with other brokers
dogbreath says:
mt4
Brian says:
our MT4 is the same
Brian says:
i think your getting confused between free margin and margin
dogbreath says:
well.....then when "free margin" gets to zero.....it will close all the trades...correct?
Brian says:
when your margin get to 20% you will be closed
dogbreath says:
ok.....where do I see the 20%
Brian says:
you dont
Brian says:
it is a simple calculation
dogbreath says:
so how do I know when they are going to close?
Brian says:
the margin call warns you at 50%
Brian says:
then you close your position then if you want
dogbreath says:
where would I see the warning....how do I calculate the 50% and the 20%
Diego says:
You calculate from your balance
Diego says:
you will see a warning on the platform
dogbreath says:
how would I calculate from my balance?
Diego says:
what you mean?
Diego says:
you take your total balance and deduce 20% from it
dogbreath says:
ok.....so if I had $1000 in my account and the loss on my open trades amounts to $200 (20%) then all my trades will close?
Diego says:
if you have 1000 and your trade is a minus of 800
Diego says:
our account will be stoped
dogbreath says:
k.....now lets say....I deposit 2000 and get a 1000 bonus....total acount bal = 3000....then alll my trades will close is my open trades are showing a loss of 2400....the bal being 600 (20%)
Diego says:
you can not use the 50% bonus for trade
Diego says:
only after you reach the required levels
Diego says:
please read the terms and conditions for the 50% bonus
dogbreath says:
ok....so what would be the numbers in that case for a margin call?
dogbreath says:
would it be 20% of the 2000?
Diego says:
the margin call is at 50% sir
Diego says:
50% of your actual balance
dogbreath says:
so 3000 -1500 ?
Diego says:
yes
dogbreath says:
so if i have trades open and they lose 1500 of the 3000 original bal...then all the trades will close?
Diego says:
no sit
Diego says:
Margin call
Diego says:
is 50%
Diego says:
and is just a warning
Diego says:
and stop out level
Diego says:
is 20%
Diego says:
when you got stoped
dogbreath says:
ok.....so using the same numbers.....when my open trades show a loss of 2400.....then they all close?
Diego says:
Yes
dogbreath says:
does that change after I have traded more than 50 lots?
dogbreath says:
in other words...does the bonus become part of MY bal anfter I have traded 50 lots
Diego says:
not 50 lots
Diego says:
if you deposit 2000
Diego says:
you have 1000 bonus
Diego says:
so will be yours after you trade 1000 lots
dogbreath says:
ok...lets back track a sec
dogbreath says:
lets say no bonus account and I deposit 2000.....when my losses on open trades = 2000 the account stops out? correct?
Diego says:
no sir
Diego says:
20% of 2000
dogbreath says:
k.......what does the "free margin" field in mt4 show for that amount.....would it be 400?
dogbreath says:
or would it be the equity field?
Diego says:
yes
dogbreath says:
so the field to be watching would be the free margin.....because....Bal minus loss = equity minus margin = free margin
Diego says:
yes
dogbreath says:
ok....we are making progress......
dogbreath says:
my question then is because I started with 2000 and I have a 1000 bonus.....when the free marging gets below 1000 then the account will be stopped out...correct?
Diego says:
the free margin is the equity - the margin
Diego says:
so you have to calculate that when you open a position
dogbreath says:
you are making it confusing again.....if I had no bonus on the account and my free margin went down to zero the account would be stopped out right?
Diego says:
Sir
Diego says:
did you read the terms and conditions for the 50% bonus?
Diego says:
There you will see that you can not use as margin
Diego says:
so you have to cancel that from your account
dogbreath says:
yes....look at the last paragraph....and do you have an mt4 screen in front of you to see the fields I am talking about?
Diego says:
Yes sir
Diego says:
I do have
dogbreath says:
my point is.....it is not just the equity. you cannot lose more than you have put into the account right?
Diego says:
That is correct
dogbreath says:
the last paragraph is an example of when there are no trades open
dogbreath says:
if you had a trade running at a loss....the margin that that trade was taking would also have to be deducted from the equity....coz it is also a loss.....that amount is reflected in the free margin.....so actually if the free margin gets below 1000 trade closes....not just the equity going below 1000
dogbreath says:
otherwise you could lose more than you have put into the account
dogbreath says:
look at the fields on the mt4 screen and add them up... bal equity margin and free margin
Diego says:
Sir what is your account number?
dogbreath says:
2****
dogbreath says:
2****
Diego says:
So do you have any problems with the account?
dogbreath says:
no....I just want to be sure I understand when a margin stop out is coming.....the bonus gives the illusion that you have more money than is actually available....I want to be sure i understand it completely.
dogbreath says:
in my estimation....on my account as it is currently....I need to watch the free margin field does not go below 1000 otherwise I will get all my open trades closed on a margin stop out.
Diego says:
please read this documents
Diego says:
http://hotforex.com/documents/Trading_and_Execution_Risks.pdf
Diego says:
http://hotforex.com/documents/Trading_and_Execution_Risks.pdf
Diego says:
you can go to the margin calls paragraph
dogbreath says:
yes that is standard stuff...that does not effect our conversation here
Diego says:
So what you need to know exactly?
dogbreath says:
I would like you to confirm that as a trader I should be watching the free margin to make sure it does not go below 1000 on my account or I will have a margin stop out.
Diego says:
no
dogbreath says:
so what amount would it stop out at?
Diego says:
let me confirm for you
Diego says:
this will help you a lot
Diego says:
Margin Call & Stop Out level
Diego says:
Margin Call & Stop Out level
dogbreath says:
so what would be the "required margin" on my account?
Diego says:
required margin?
Diego says:
it depends on the trade sir
dogbreath says:
would that be the "margin level" field on mt4 that is reflected as a %
Diego says:
no
Diego says:
that is your real money
Diego says:
so to calculate that
Diego says:
you need to get the equity
dogbreath says:
I am looking for something on my screen that I can watch to make sure I do not get to a stop out situation?? What do I watch?
Diego says:
reduce your bonus
Diego says:
that is what I'm telling you now
Diego says:
get your equity and reduce your bonus from it
Diego says:
and add your margin 20%
dogbreath says:
so the free margin doesn't matter?
Diego says:
reduce that also from the total sum
Diego says:
and you have your stop out lever
Diego says:
not at this time
Diego says:
but also can work
Diego says:
if you reduce the bonus from the free margin
Diego says:
you know that you can go as far as 56.00
dogbreath says:
so ok.....I have 3700 - 1000 = 2700 x 20%= 540 + 2700 = 3240 for the stop out?
Diego says:
no sir
Diego says:
3383 is your equity
Diego says:
less 1000 bonus
Diego says:
than you make your margin that is 56.49 + 20%
Diego says:
and reduce that also
Diego says:
so you are looking for something about 2320
dogbreath says:
I dont understand.....and it would be to difficult to sit here with a calculator calculating it while the markets are moving
Diego says:
is easy sir
Diego says:
get your free margin
Diego says:
reduce the bonus
dogbreath says:
tyhats it?
Diego says:
and also reduce your magin
dogbreath says:
so lets say....free margin = 2000. subrtract 1000 for bonus = 1000 x 50% = 500.....subtract 500 from bal of 1000 = 500 for margin call....then stop out of 20% would be at 200??
Diego says:
why * 50%?
Diego says:
free margin
Diego says:
3000 less bonus 1000 = 200
Diego says:
sorry 2000
dogbreath says:
for the margin call of 50%
Diego says:
aaa ok i see
Diego says:
so yes that is correct
Diego says:
for the margin call
Diego says:
not for the stop out lever
dogbreath says:
stop out is 20%....lemme do difernet numbers.....
dogbreath says:
free margin = 3000
dogbreath says:
- 1000 for bonus
dogbreath says:
bal = 2000 minus 50% = 1000 for margin call
dogbreath says:
bal = 2000 20% of 2000 = 400 for stop out
dogbreath says:
if I removed the bonus would the free margin amount stop out at 0
dogbreath says:
i mean removed the bonus from the whole account....no bonus options
dogbreath says:
it is just to dificult to fgigure out when I am going to get stopped out.
dogbreath says:
that number of the stop out needs to be exact and on my mt4 screen somewhere
dogbreath says:
does your server close out one trade at a time....or does it close ALL trades on a stop out?
Diego says:
one at the time
Diego says:
it goes closing as the margin goes dropping
dogbreath says:
well....I have taken enough of your time today.....another time maybe.
dogbreath says:
thxs

 

[Leunammj]

dude, dont ever use 50% bonus. because it did not trade required lot the money still belongs to hotforex, and only acts as a leverage. For example u depost 100, u get 50. So ur account have 150.

When account reach -90 to -100, so called margin call are reached. the bonus of 50 will be removed.

Smart a** only uses 15% rescue bonus because it can be lost and its there to protect ur account.

I am a hotforex client for 6 months already, and i have researched 2 month before picking hotforex as my broker.

good customer servicce, good chat service. everything is excellent so far.

And i make constant profits from them, that's the most important.

Compared to other brokers, their execution is probably better.

now with mt4 mobile apps, the execution is even faster than the mt4.

I would recommend this to my friends.

 

[henyo]

speaking of mobile apps, yes its a lot faster, and less slippage, best thing is during news outbreaks and sudden opening and closing of orders (its a secret)

btw, has anyone got the email about the new hotforex demo contest? 3500 dollars worth of prices each round? its really tempting, it might as well be my first demo contest with these guys

 

[FxMaster]

Its looks interesting, Can anyone join this contest or its just for newbies ?

 

[Hanif Akbar]

making 1st payment by credit card

If you deposit money by credit cards a very long and lengthy process of verification. I made my first deposit with them by my credit card. I send them copy of my credit card statement and my passport copy. Then they said to me they need photo of both sides of my credit card, plus three months statements of that card.

This is the email i received from them.


Dear Sir,

Please note that our Compliance Department requires from you the following documents:

1. Copy of Credit/Debit Card (front & back) - document should contain the last 4 digits only, expiry date and your name (you may cover the rest of the information).
2. Bank Statement of credit/debit card which you used for depositing funds for the last three months (please note that we do not need to view your statement history, however Bank Statement must include your name, your bank account number, your bank name and date)
3. Your Valid Passport

Once we receive required documents from you they will be verified and your account will be activated for trading.


Should you need any further assistance please do not hesitate to contact us.

Kind Regards,

Andria Adamou
BackOffice Department



I do not know if they need that much documents what will they need when i should make a request for withdrawal.

I think then they will ask me to visit there head office in Mauritius and collect my payment from there.

Lets see what happens next I will update you.

 

[antonisk]

Its looks interesting, Can anyone join this contest or its just for newbies ?

Everyone can join. Just read your post and i opened an account just now. I will give it a try and who knows

 

[yideng]

Everyone can join. Just read your post and i opened an account just now. I will give it a try and who knows

I joined too, one month is not too long and it's challenging to get the prize.

 

[henyo]

the more the merrier I say, lets have a friendly competition then, best of luck to all of us