Do you find that the server always retrace back to your stop loss and then go back to its original position again causing you to close position too soon and lost money? I tested a few positions and I see it very clearly. Look like it is no different from binary options. Beware.
No that is total hogwash , the belief that the banks are out to get you is just the rants of failing traders. Most retail traders place to tight a stop in a logical place. The market will always probe to areas where orders can be filled. Its just the bigger boys playing the game better than you sort of thing. Once you understand that trading is easier
Trading is easier for not everyone. Man is either able or not. Not everyone is given this.
That is quite a mystery. This problem is researching deeply into the broker server. How the broker will manipulate the price on his server is difficult for the trader to know
Can you share more about what you noticed on the server?
Think about it.
The underlying market is trading at a given price. The broker has 4,000 traders in total, of which maybe half will have open positions in this pair, of which half will be long and half will be short. So there are 1,000 traders who will lose money if the broker drops the price. But only 250 have a pre-set stop in the price drop range.
Meanwhile there are 1,000 other clients who are short and they’re all making money now - they could easily close their positions when they see price dropping and the broker can’t stop them. Plus there are 2,000 additional clients who don’t have an open position but they also see price drop and some or all of them might decide to get in long while price is at a discount in what must surely be a transient counter-trend price spike down. Net result the broker gets taken to the cleaners.
The forex market eats stops but its not hunting your stop.
Thanks for the reply.
I found this phenomenon known as stop lost hunting where the institutions will try to trigger your stop loss. Using the free mql5 stop loss indicator, I set a stop lost of at least 240 pips yesterday on eurcad on my sell. I see the big white candle retrace all the way back to a BIG black candle. I decided to fight it by shorting it again as eurcad is on a bearish trend. It lasted more than 4 hours and i decided to sleep after setting my target profit. The next morning when I wake up, I won the battle and make some money.
I dont think this is the best way to proceed.
You can always check another chart from another platform to see how the price actually moved. If there is a foul play, you will surely know.
Tell that to the Turtle traders all with no knowledge of markets and ended up some of the most successful traders of all time.