Hello Clint, hope all is well. You asked me to give a report on my experience with Forex Broker, Inc. It was a while ago, but I have been trading with Profiforex mostly since then using a different strategy that was not conducive to this brokerage. BTW, Profiforex is an excellent brokerage.
There have been two disappointing experiences with Forex Broker, Inc. I can say to their credit that they did return my deposit both times, so it was not a loss of capital that I experienced, just a loss of time which is much more valuable than money. Money cannot buy time.
The 1st disappointment was regarding inquiries with their online chat, support department, and the assigned manager about the # of open orders allowed. They all claimed to allow unlimited # of open orders with no problems. After making a $1,000 deposit and opening several accounts, my strategy opened 500 orders per account on the 1st day. Their Dealing Desk contacted me before the morning via email requiring me to close out the orders because it was a drain on their servers. I was surprised, because after contacting their staff and reading their terms and policies I was convinced they allowed “unlimited open orders.” I informed them about the confirmation received regarding unlimited orders from their staff and terms and policies, but they responded by demanding the orders be closed immediately or they would close them for me. Well, I was not going to take a loss because of their incompetent staff, so I left the strategy continue as it was. They closed all orders, froze all accounts, and refunded the deposit by the next morning. I was grateful for the refund, but told them to counsel their staff and change their terms and policies if they were going to be two-faced hypocrites.
The 2nd disappointment just happened last week. Only using a buy and sell breakout strategy for different market session openings and news events. The strategy sent hard take profits and stop losses to their servers, but were closed before and after the stops as a loss on several trades. I chatted with them online about it, and was told to contact their Dealing Desk again. It was only about $5 loss, because I was just testing the strategy in the live market, but a principle is worth dying for. I requested the restoration of the equity immediately, providing evidence of the trades from the MT4 Experts Tab, Journal, and Logs, but they claimed that my IP Address closed the trades. I refuted their lame excuse with the evidence of the orders being closed before and after the hard stops sent to their servers, and informed that that the same algorithm was being traded on another brokerages MT4 from the same private server at the same time without any issues. They responded by accused me of fraud, and referred the case to their Anti-Fraud Department, because my strategy appeared to be using an arbitrage strategy. What a joke! The next day, they closed my account, again refunded the minimal $300 deposit, and informed me that they would not do business with me anymore.
It does not benefit me to post this report. It is for the benefit of others to beware of the character of this broker, which claims to specialize in service to “USA and Japan” customers for some reason.
Best regards
P.S. I will not be posting on FPA or any other forum about my experience with this brokerage, this is for the benefit of this thread, but if this post is not appropriate for this thread, please just delete it.
Here is a snapshot of the trades and correspondence.
On Mon, Nov 24, 2014 at 12:59 AM,
To Whom It May Concern;
Your server is closing trades in my account without my authorization. Please see all of the trades highlighted in yellow. They all have a comment “pending” except for the last one that says “stoploss”, but they were all in violation of the set “stoploss” or “takeprofit” parameters that I initially sent to your servers upon opening the trades. Please restore the equity for these trades in the account immediately.
Sincerely,
TRADES CLOSED BY FOREX BROKER, INC.
14824106 2014.11.20 06:14:39 buy 0.01 usdjpy. 118.466 118.265 118.765 2014.11.20 0723 118.622 0.00 0.00 0.00 1.32
123 pending
14821492 2014.11.20 0036 sell 0.01 nzdusd. 0.78384 0.78594 0.78094 2014.11.20 08:00:00 0.78404 0.00 0.00 0.00 -0.20
123 pending
14831924 2014.11.20 1738 sell 0.01 usdcad. 1.12988 1.13193 1.12693 2014.11.21 07:01:34 1.13083 0.00 0.00 0.00 -0.84
123 pending
TRADES CLOSED BY FOREX BROKER, INC.
14855638 2014.11.21 10:01:09 buy 0.01 eurusd. 1.25494 0.00000 0.00000 2014.11.21 10:03:01 1.25513 0.00 0.00 0.00 0.19
123 pending
14855639 2014.11.21 1016 sell 0.01 eurusd. 1.25371 0.00000 0.00000 2014.11.21 1038 1.25420 0.00 0.00 0.00 -0.49
123 pending
14860731 2014.11.21 1557 buy 0.01 usdcad. 1.12695 1.12534 1.12934 2014.11.21 1500 1.12258 0.00 0.00 0.00 -3.89
123 stoploss
On Sun, Nov 23, 2014 at 4:03 PM, Dealing ForexBrokerInc wrote:
The information you have provided is being investigated and you will be emailed with the results of the investigation as soon as possible.
Thank you for your patience.
Kind Regards
Dealing Team
From: Dealing ForexBrokerInc
Sent: Monday, November 24, 2014 4:23 AM
Subject: Re: Trades Closed by Forex Broker, Inc Without Authorization
Thank you for your email.
In regards if our server is closing trades without your authorization, please note that our clients are dealing straight with our liquidity providers, without us using a dealing desk in between.
Also please note that any pending or completed requests regarding a trade, are saved in our server journal , where is showing clearly the ip address from where the request came from.
In regards for the “pending” commend, that means that the trade was originally a pending order that got triggered when the Market reached the price you set.
If the trade will close at the T/P or S/L price then the command will change accordingly.
If the trade will close manually then the “Pending” will remain on comment.
Also “Pending” commend can also be added by an Expert Advisor.
Here is an example for trade 14824106 in order to clearly understand that the request for its closure came from your ip address(for the other 5 trades please see attached file)
There are 2 possibilities that you are experiencing this :
a) You are using an EA or a Script without been aware of.
b) A third person from your household has access to your trading account.
In order to eliminate these 2 possibilities please re-install your platform from the link below and change your account password.
As you can clearly see all trades were executed and closed by your Ip and therefore we cannot proceed with your refund request.
Thank you for your understanding.
If you would like any other help or information, please do not hesitate to contact us again.
On Mon, Nov 24, 2014 at 4:42 PM,
To Whom It May Concern;
Thank you for your investigation. I am using an expert advisor, and it was the same exact expert advisor being used on another brokerage’s MT4 platform at the exact same time, trading the exact same strategy, with the exact same set parameters, on the exact same currency pair, located on the exact same private server, and the trades were executed seamlessly, and closed at the set parameters that were sent to the brokerage’s server, not before or after like Forex Broker, Incorporated’s servers.
So you Forex Broker, Incorporated is working against their clients trades, and not respecting their clients set parameters that were sent to the servers as “hard parameters,” and now your department is refusing to accept responsibility for your actions, and blaming your clients of closing trades premature to their set parameters that were sent to Forex Broker, Incorporated’s servers, because “your investigation” states that the close requests were made from the IP Address of the exact same Private Server where the other brokerage’s MT4 platform executed the trades without any “manipulation.” If the stoploss parameter of order#14860731 2014.11.21 1557 buy 0.01 usdcad. 1.12695 1.12534 1.12934 2014.11.21 1500 1.12258 0.00 0.00 0.00 -3.89 123 stoploss was sent to “your trading server,” and the reason for the close in the comments is “stoploss” how could “your clients IP address” be responsible for that trade being closed 276 points past the “sent hard stoploss parameter” held by Forex Broker, Incorporated’s servers?
You will be held accountable by Another Person if you refuse to hold yourselves accountable for your actions.
Sincerely
---------- Forwarded message ----------
From: Dealing ForexBrokerInc
Date: Mon, Nov 24, 2014 at 9:09 PM
Subject: Re: Trades Closed by Forex Broker, Inc Without Authorization
We are writing to inform you about your account that during our investigation for your requested trades our Anti-fraud Department has brought to our attention that the trading patterns in your Account raise serious concerns. For this reason your account is now on hold for further investigation.
We would reply you within 24 hours.
Thank you for your co - operation and patience.
Kind Regards,
Dealing Department
From: Dealing ForexBrokerInc
Sent: Tuesday, November 25, 2014 10:05 AM
Subject: Re: Trades Closed by Forex Broker, Inc Without Authorization
Dear Investor,
We are writing to inform you that we decided to return you your funds $300 along with your profit $25.44 and terminate our relationship. The report from our Anti - Fraud Department shows that in total you have placed 81 orders from which 44 were cancelled and 26 out of 37 were using arbitrage scalping strategy.
Even thought WE ACCEPT NEWS TRADING AND SCALPING, FOREX TRADING ARBITRAGE STRATEGY PATTERNS ARE NOT TOLERATED.
Also considering your previous history with Forex Broker Inc, we wish no longer to cooperate with you.
Thank you for your understanding and we wish you the best of luck in your future trading experience!
Kind Regards
Dealing Department
To Whom It May Concern;
Oh, give me a spineless break! The breakout strategy that was employed during the exchange session openings and news events have nothing to do with arbitrage strategies. Please inform the managers of both the Dealing Desk and Anti-Fraud Departments that they seriously need to train their staffs as both departments have no competence in trading strategies and lack the character and courage to face the truth and take responsibility.
Thank you very much for returning the investment capital. I am grateful not to waste my time with characters of your type.
Best regards