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 Forex Version XIV, Foreign Exchange Market Discussion

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Supreme1394
post Jan 15 2015, 06:11 PM

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QUOTE(lowya @ Jan 15 2015, 06:06 PM)
have you ever heard of forex suspended during market hour?

broker cannot claim lack of liquidity in forex market as a reason.
*
Means they're market makers?

EDIT: EURUSD skyrocketing down, sell sell sell, hehe

This post has been edited by Supreme1394: Jan 15 2015, 06:45 PM
Supreme1394
post Jan 15 2015, 07:28 PM

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QUOTE(hiyyl @ Jan 15 2015, 07:16 PM)
fk. busted my a/c. orders placed, very slow response. tried to cancel order but not working. n suddenly my balance jz went below 0 vmad.gif
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Omg ohmy.gif Sry to hear that bro, just demo account right? I think it's better to not put trade orders but manually place them, to avoid stuff like this. And ICMarkets demo still had very fast responce time even in critical times like this.

This post has been edited by Supreme1394: Jan 15 2015, 07:34 PM
Supreme1394
post Jan 15 2015, 07:38 PM

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QUOTE(lowya @ Jan 15 2015, 07:33 PM)
don't know how many accounts got busted today on CHF pairs.

take a look at daily charts, unbelievable!
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Holy sh*t man, price free falled all the way to infinity ohmy.gif

QUOTE(hiyyl @ Jan 15 2015, 07:34 PM)
I got margin call a few times doh.gif place another order in opposite to hedge. But too late  sad.gif
Real account doh.gif doh.gif doh.gif

ICM is good? Will try tat. Not gonna use fxcm again. used to be quite nice. Lately jz getting slower n slower response time
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Feel bad for u bro, but didn't you place stop losses in the first place?
Supreme1394
post Jan 15 2015, 07:44 PM

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QUOTE(lowya @ Jan 15 2015, 07:40 PM)
don't f with interest rate announcements, more powerful than NFP.
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Let's say I had a trade on USDCHF, and I put a stop loss at 2% of my total account. Do you think the stop loss will be effective to limit the loss to 2%?
Supreme1394
post Jan 15 2015, 07:46 PM

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QUOTE(hiyyl @ Jan 15 2015, 07:43 PM)
I did. The response is jz too slow. N the system went hairwired doh.gif imagine the stop loss is on top of open position for long doh.gif
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What do you mean by on top of position? Shouldn't stop loss be below position for long positions?
Supreme1394
post Jan 15 2015, 07:48 PM

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QUOTE(lowya @ Jan 15 2015, 07:46 PM)
definitely humongous slippage that will also kill account cause no broker guarantee SL fill at your stop price.
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Damn, so are we all at risk of blowing up our accounts even with sl?
Supreme1394
post Jan 15 2015, 07:58 PM

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QUOTE(cylaipro @ Jan 15 2015, 07:55 PM)
only during high volatility moment. even hit sl also wont stop. it will continue to move until low volatility. u play demo right? demo will stop when hit sl because not real market.
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Then how like that, this was also an emergency meeting, no prior announcement in ff. so we're all screwed?
Supreme1394
post Jan 15 2015, 11:17 PM

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QUOTE(cylaipro @ Jan 15 2015, 08:01 PM)
but some good broker there provide refund. u can try fake live chat with ur broker.
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Don't dare to do fake live chat lol tongue.gif

QUOTE(Epoche @ Jan 15 2015, 08:37 PM)
i think there is a calendar you can refer to next time, don't mess with central market decision  sweat.gif
even though this time the market is slower response  blink.gif
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Which calendar? ff didn't show it until it was over, and it was an emergency meeting hmm.gif

QUOTE(hiyyl @ Jan 15 2015, 09:18 PM)
how much is the actual commission charge for ICMarkets? $3.50 per lot for standard account?
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It's $7 per lot, but if you google search ff, there's a guy giving out his id for discount, so if you sign up under him you can get like $5.5 per lot or something.

QUOTE(krofal @ Jan 15 2015, 09:55 PM)
Let's all give thanks to SL and BE for saving our accounts on such a shitty market move haha
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Thought SL won't work for such a massive drop? shocking.gif
Supreme1394
post Jan 15 2015, 11:55 PM

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QUOTE(krofal @ Jan 15 2015, 11:43 PM)
I not sure, I wasn't in any trades but my friend says his trade hit SL and loss $300.  Could have busted his account he said  doh.gif
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Oh, but I'm reading FF now and some are saying their SL didn't save them because nobody was buying, no naturally can't fulfil the SL. Oh and here's what happens if you go negative in your account (quoted from ICMarkets FAQ) :

"Events such as markets gapping over the weekend or on major holidays where liquidity is thin can increase the chance of your positions being stopped out and a negative equity situation occurring We advise that you use stop loss orders to limit your risk and you monitor the margin level in your account regularly. You will be responsible for any negative balance in your trading account."

Supreme1394
post Jan 16 2015, 01:00 PM

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QUOTE(krofal @ Jan 16 2015, 10:54 AM)
Do you have to pay more?  I thought any losses sustained after your account go bust is passed onto your broker.  Perhaps I'm wrong?  sweat.gif
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Gotta read the fine print but realistically speaking, it's impossible for them to get back the money from losers overseas. Let's say you owe fxcm 100k, doubt they can find a way to collect it from you here in malaysia. Heck even our own governement cannot find a way to collect back ptptn loan through enforcement. sweat.gif

This post has been edited by Supreme1394: Jan 16 2015, 01:02 PM
Supreme1394
post Jan 16 2015, 04:57 PM

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QUOTE(Reishin @ Jan 16 2015, 03:06 PM)
i think they are safe.. notworthy.gif  This is what they said..

In the wake of unprecedented market events this morning, OANDA demonstrated its ongoing commitment to doing right by its clients. Despite suffering losses and vanishing liquidity in the institutional hedging market, OANDA remained true to its 14-year legacy of transparency, integrity and fairness to our clients. OANDA did not re-quote or amend any CHF cross client trades. We even took the further step of forgiving all negative client balances that were caused when clients could not close out their positions fast enough*.

Client inquiries are being handled normally and those making withdrawals and deposits are able to do so as normal.

OANDA is proud of its strong reputation for fairness and integrity. We thank our customers for their continued loyalty and welcome new traders who want to experience outstanding service and execution.
*
Isn't Oanda a market maker?

Just google "Oanda risk disclosure agreement". I copy pasted this from there :

The off-exchange foreign currency trading you are entering into is not conducted on an interbank market, nor is it conducted on a futures exchange subject to regulation as a designated contract market by the Commodity Futures Trading Commission. The foreign currency trades you transact are trades with the futures commission merchant or retail foreign exchange dealer as your counterparty. WHEN YOU SELL, THE DEALER IS THE BUYER. WHEN YOU BUY, THE DEALER IS THE SELLER. As a result, when you lose money trading, your dealer may be making money on such trades, in addition to any fees, commissions, or spreads the dealer may charge.
Supreme1394
post Jan 16 2015, 05:39 PM

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Hey all, I just want to share some info that would help to negate an all out loss (like yesterday) in forex. For all we know it could happen again pretty soon and maybe wipe out the EURUSD ohmy.gif Since we can't avoid the disaster besides being lucky, this is what I'm going to do. At the end of every profitable month, I'll take out 50% of my profit and keep it in the bank. No point reinvesting everything, and losing all your years of effort in 1 minute.
Supreme1394
post Jan 16 2015, 08:06 PM

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QUOTE(sleepwalker @ Jan 16 2015, 05:55 PM)
That's what I always do but I do my money management with both accounts combined (money in broker + money in local bank account that is kept for trading). Most importantly I don't trade CHF. It was already reaching a boiling point but there were plenty of greedy traders hoping that the swiss bank would go further into negative interest rate (which they did) but did not expect them to let go of the 1.20 ceiling so quickly. Even Dukascopy, their own Swiss forex broker, made an announcement a couple of months back for all traders to be vary of the 1.20 ceiling and the lack of liquidity below it and that anything can happen.. and it did.

Edit:
In Oct they said this "Reduction of maximum leverage on EUR/CHF exposures
Due to the possibility of a break of the 1.2000 floor in EUR/CHF which may see significant price gaps and cause negative equity on client accounts, Dukascopy Europe is forced to implement a maximum leverage for EURCHF exposures of 1:10 as of 12 October 2014.

Traders trading EURCHF are invited to estimate margin usage at the moment the maximum leverage on EUR/CHF will be reduced and adjust their exposure accordingly if needed."
I guess nobody listened. They even tried to help by reducing margin.
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Great insight, so I take it you're using dukascopy? Are they a market maker? I seldom pay attention to fundamental analysis so some headsup from dukascopy would be great in the future thumbup.gif
Supreme1394
post Jan 16 2015, 09:33 PM

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QUOTE(Love & Money @ Jan 16 2015, 08:34 PM)
Those forex brokers that went bust (and probably more coming up) these few days are now being forcefully+violently+unexpectedly revealed to be market makers after all. LOL

If they are not market makers, they would not meet their fate today.
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Can you clarify? Even a non-market maker would go bust because nobody was buying at the time of the drop. Naturally all margin calls (which are market orders) won't be able to execute because there's no one to sell it to.

This post has been edited by Supreme1394: Jan 16 2015, 09:34 PM
Supreme1394
post Jan 16 2015, 09:45 PM

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QUOTE(icemanfx @ Jan 16 2015, 09:42 PM)
Most of FXCM’s retail clients lost money in 2014, according to the company’s disclosures mandated by the CFTC. The percentage of losing accounts climbed from 67 percent in the first and second quarters to 68 percent in the third quarter and 70 percent in the fourth quarter.

It seems over 2/3 forex retail clients lost money.
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At least that's a better figure than the 95% losers we hear all over the net brows.gif

This post has been edited by Supreme1394: Jan 16 2015, 09:45 PM
Supreme1394
post Jan 16 2015, 10:22 PM

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QUOTE(starship1 @ Jan 16 2015, 10:00 PM)
beginners at 95% OR MORE . old burung maybe less after burning a few accts in their early adventures.thats life on a learning curve.accept it.

more or less balance out at 69%. see burung kakak tua can still make profits
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I'm burung kakak muda but I'm making money wor, how? brows.gif

QUOTE(danokchonger @ Jan 16 2015, 10:05 PM)
FXCM pre-market stock down by 90%  smile.gif
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QUOTE(starship1 @ Jan 16 2015, 10:18 PM)
FXCM market capitalisation at 50-60 million now but face 225 million losses, the biggest of them all may go bust
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At least this is some pay back for them being a market maker
Supreme1394
post Jan 17 2015, 12:11 AM

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QUOTE(cylaipro @ Jan 16 2015, 10:50 PM)
only real ecn broker will go bankrupt.
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QUOTE(Love & Money @ Jan 16 2015, 11:45 PM)
If they are ECN/DMA broker, the risk would be on the banks, i.e. the liquidity providers.
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I've thought about something interesting. Shouldn't market makers be the ones laughing their way to the bank instead of going bust at this time? hmm.gif Because market makers, well...make their own backyard market. So if their customers get margin called, shouldn't the other end of the market (the market maker) profit instead? So how is it that fxcm, alpari, and etc are facing deep trouble now? rclxub.gif

QUOTE(icemanfx @ Jan 17 2015, 12:02 AM)
Liquidator could appoint local debt collector to go after retail debtors.
*
That's a possibility, but has it ever happened before?

This post has been edited by Supreme1394: Jan 17 2015, 12:12 AM
Supreme1394
post Jan 17 2015, 12:45 AM

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QUOTE(Love & Money @ Jan 17 2015, 12:38 AM)
Maybe. That's probably why Oanda can forgive customers with negative ac balance.
Still learning.
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For Alpari's case, I'm speculating that their "Pro" accounts (the true ECN ones) got too much losses, so big that any winnings from their normal accounts were like nothing, hence putting Alpari with a huge net loss hmm.gif
Supreme1394
post Jan 17 2015, 02:29 AM

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QUOTE(cylaipro @ Jan 16 2015, 10:50 PM)
only real ecn broker will go bankrupt.
*
Turns out you're right.

For the rest of you guys who want to know who the market makers are after this tragedy, read my thread on FF here
Supreme1394
post Jan 17 2015, 03:13 AM

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QUOTE(Alissa_1989 @ Jan 17 2015, 02:56 AM)
Supreme1394 , in forex factory, u are using the example of Alpari, which offers ECN account (or aka Pro account) and normal account. Their ECN account has made too much negative to Alpari that causes Alpari in trouble and then causes normal account holders in trouble too.

Which means a "chain reaction" has happened and then affected those innocent accounts.  Am I get it correctly ?   

By applying the same story, fxprimus has offered ECN premier accounts too (but not sure is that a true ECN) .
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Whether or not the normal market maker accounts get into trouble is nothing to do with the broker's ecn accounts. The normal account will still get margin call if they had gone long. Anyhow the broker would be the winner and get the full capital of their clients under normal account.

For fxprimus, based on my theory, they most probably are providing a fake ecn account. Since ecn accounts are supposed to be connected to the interbank market, even a small number of them will bring in huge losses. And compared to most normal accounts (market maker) who went negative, their relatively small account size means that even margin call won't be able to offset the broker's losses from the ecn accounts.

This post has been edited by Supreme1394: Jan 17 2015, 04:00 AM

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