is this true?

Discussion in 'Forex Brokers' started by drasfs, Jan 30, 2006.

  1. drasfs


    is jess telling the truth?

    drasfs: hi
    Jess: Hello, welcome to How may I assist you?
    drasfs: all my positions were suddenly closed
    drasfs: how come
    Jess: one moment
    Jess: It looks like your positions were liquidated by our trade desk due to insufficient margin
    Jess: to learn more about margin click here
    Jess: click here
    drasfs: thats not true
    drasfs: as i only lost 45 dollar
    drasfs: and I had 1000 dollar
    drasfs: so ive 955 more in my account
    Jess: yes that is true however b/c you had all those open positions, you had 5 different currencies for a total of $140k open position
    Jess: you did not have enough to maintain all of them open
    Jess: if you look at your transaction history
    Jess: when your first position was liquidated, your max deal available was -3206.
    Jess: showing that you did not have sufficient margin to have all those positions open
    drasfs: but how could that be, as i only lost 45 dolllar
    drasfs: 955 dollar gives 191000 max deal available
    drasfs: since ive 200 leverage
    Jess: yes that is true but you had many positions at the time and once 1 position falls below margin, any and all positions for a mini account may be liquidated
    drasfs: what, is there an individual margin for each position >
    drasfs: ?
    Jess: well yews
    Jess: yes*
    Jess: each position has a margin requirement
    drasfs: how much
    drasfs: max deal available should however never had become negative
    Jess: in a mini about $50-60 per lot
  2. Chood


    drasfs, are you using a firm that allows you to buy/sell in 1 unit increments? If so, I'm darned to figure out why you've suffered this problem.
  3. Peter35


    I don't understand how you lost all your positions and lost only 45$ ???
  4. maricana


    Sounds like you were way over leveraged. Remember that 10 you put in the box is really $10,000 they've loaned you and they want to protect their money.
    I usually try to keep $200 in my account per 10k that I've used. So on a $1000 account I would only risk 50k total on all positions. It's a slower way to make money but safer.
    FYI over at Oanda if you took their standard 20:1 position you'd only be permitted 10-20k per $1000 (depending on currency)

  5. TheFinn


    You would use a 50:1 margin for your account? I am starting with $3,000 and was thinking I would only risk 50K - 1000K off that, so really, only a max of 1/3 total leverage available. I think. I'm actually having a hard time figuring out what the safest leverage I should use is. I am going to be swing trading. Holding positions for several days to a week or so at a time.
  6. maricana


    The less you risk the safer it is. I usually do a 20:1 leverage unless I get cocky and go overboard :). I always go with the old adage - never risk more than you can afford to lose. If you're going to be swing trading make sure of your entrances and exits. A lot can happen in a week.

  7. drasfs


    Well, I only risk 10% on every trade, or i did, now i lose more.

    The leverage is 200:1. so I need 100dollar in margin balance to buy 2 mini lots.

    Actually, I talked to their live support and wanted to change my leverage from 200 too 50, but that would take 2 days, as one had to fill out a form etc.

    Ive had a very unsatisfying experience with forex.xom.

    At one time, they just closed one of my positions, and when I asked them they why, they told me, that I had set up the order to close it previously. Which of course was not true.

    When I had been out and came home again to check the platform, I was suddenly sitting on a position I had never ordered.

    They say that their spreads are 3 pips, but obviously this only apply to one currency pair, wherheas you have you to pay 5 to 6 generally. By doing so, they cheat a lot on future customers who think this applies to all currency pairs.

    It is very emergent, and I need a good broker fast. I cant afford any more of their tricks.

    I was looking at fxcm. They look good, the platform is good, and you can change your leverage whenever you want with instant effect, but sadly you must install the vtrader platform, which would cause a lot of problem for me.

    Actually what im looking for is convinience. These are the things I look for:

    Java platorm
    You can change your leverage whenever you want
    You can fund your account with visa
    You can easily withdraw your money without having to fill out forms.
  8. eesnz


    that would never happen at some other brokers
  9. maricana


    I like FXCM because of the platform and charts. . . but I also have an account at Oanda for their spreads. What you went through sounds really odd - almost as if your account had gotten linked to someone else's. You might want to insist that they look into it in case it's a kink in the system.
  10. eesnz


    #10     Feb 1, 2006