Rational for placing offsetting trades? - RTC Finance

Messages
3
A friend of a relative of mine has recently opened a forex brokerage account and, apparently under advice from said broker or possible entered by a broker employee without authorization, entered a buy order and immediately after an offsetting (hedging?) sell order: e.g.

buy 8,000,000 AUSUSD at 0.75895, and 14 seconds later sell 8,000,000 AUSUSD at 0.75829, locking in an immediate loss of @ $13,250 and accruing overnight swap charges of -$1328 and -$2056 for the respective trades.

This is a pattern that was repeated across 14 different trades in total, in one evening, spanning a period of @ 8 minutes in total from @ 8.09 pm to 8.17 pm from the first buy order to last sell order. Note that the sells were not closing trades, but offsetting hedges and the trades remain open but perfectly hedged, and are now, due to their size, accruing a total combined swap charge of @ -$21,000 per night. At this rate there will be a margin call as soon as today or tomorrow, followed by a liquidation of the open trades to force a realized loss of > $100,000. Also, the swap charges are highly suspicious because, as noted above, they are negative for almost all legs of all the trades.

I cannot think of any trading rationale for this type of trading, so to my mind this absolutely screams SCAM and outright FRAUD. What are the panel's views on this?

P.S. My advice was to immediately close all the open trades to at least stop the bleeding of the account by the swap charges
 
Messages
3
My latest information is that the account holder and broker are engaging in e-mail correspondence to possibly negotiate a refund, and also that the relevant regulatory authorities have been approached. Given this, I don't think the account holder will be joining the thread anytime soon.
 

FxMaster

Lt. Colonel
Messages
9,556
A friend of a relative of mine has recently opened a forex brokerage account and, apparently under advice from said broker or possible entered by a broker employee without authorization, entered a buy order and immediately after an offsetting (hedging?) sell order: e.g.

buy 8,000,000 AUSUSD at 0.75895, and 14 seconds later sell 8,000,000 AUSUSD at 0.75829, locking in an immediate loss of @ $13,250 and accruing overnight swap charges of -$1328 and -$2056 for the respective trades.

This is a pattern that was repeated across 14 different trades in total, in one evening, spanning a period of @ 8 minutes in total from @ 8.09 pm to 8.17 pm from the first buy order to last sell order. Note that the sells were not closing trades, but offsetting hedges and the trades remain open but perfectly hedged, and are now, due to their size, accruing a total combined swap charge of @ -$21,000 per night. At this rate there will be a margin call as soon as today or tomorrow, followed by a liquidation of the open trades to force a realized loss of > $100,000. Also, the swap charges are highly suspicious because, as noted above, they are negative for almost all legs of all the trades.

I cannot think of any trading rationale for this type of trading, so to my mind this absolutely screams SCAM and outright FRAUD. What are the panel's views on this?

P.S. My advice was to immediately close all the open trades to at least stop the bleeding of the account by the swap charges
Few steps that you must follow to draw their attention to your issue,
Follow the suggested steps below:

If you deposited your money via credit card then contact the credit card customer care asap and ask them to file a chargeback.
Go to their website and invite them to here via Live Chat
Invite them to join this thread via email (Send an email to every possible address).

You will find their email and address here https://www.rtcfinance.com/about-rtc-finance/

Also, Share your story as a review http://www.forexpeacearmy.com/forex-reviews/13786/rtcfinance-forex-brokers

You can also share your story on their social media pages mentioned below:

https://twitter.com/rtc_finance

https://www.facebook.com/RTC-Finance-146084579202721/

https://plus.google.com/109207428084988972442

https://www.youtube.com/channel/UC-lbNIKJp55FeMagzCQyY4A/about


Note: Don’t forget to update your review/s when you got solution of your problem, Best Of Luck
 

FxMaster

Lt. Colonel
Messages
9,556
Also, share your account number too (Just account number) so you can have a solution soon.
 

ScamXposR

Sergeant
Messages
134
Keep posting your story daily on all their social media, and keep up your regulatory reports.
Have a chat with winchargeback.com and see if they can help you. Seems like it's a little too late to file a CC chargeback if you deposited by card, but contacting your bank about this wouldn't hurt.
 

juryman

Recruit
Messages
12
Few steps that you must follow to draw their attention to your issue,
Follow the suggested steps below:

If you deposited your money via credit card then contact the credit card customer care asap and ask them to file a chargeback.
Go to their website and invite them to here via Live Chat
Invite them to join this thread via email (Send an email to every possible address).

You will find their email and address here https://www.rtcfinance.com/about-rtc-finance/

Also, Share your story as a review http://www.forexpeacearmy.com/forex-reviews/13786/rtcfinance-forex-brokers

You can also share your story on their social media pages mentioned below:

https://twitter.com/rtc_finance

https://www.facebook.com/RTC-Finance-146084579202721/

https://plus.google.com/109207428084988972442

https://www.youtube.com/channel/UC-lbNIKJp55FeMagzCQyY4A/about
https://www.youtube.com/channel/UC-lbNIKJp55FeMagzCQyY4A/about



I have been contacted by a Sofia Kerry who claims she is affiliated with Global Investigations. She requested that I send them Euro 1500.00 and they will start investigating my problem with RTC finance. Do you know her?
 

juryman

Recruit
Messages
12
Are you really a thief? Because I have been contacted by a Sofia Kerry who claims she is affiliated with Global Investigations. She requested that I send them Euro 1500.00 and they will start investigating my problem with RTC finance. Do you know her?
 
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