Looking to start a ‘live’ account soon, but viewing the Alpari web-site they state you could lose more than you have deposited. This had made me a little apprehensive.
Surely using Stop Loss gives protection, also they would use a Margin call if the account got too low so am somewhat puzzled.
I’ve never heard of anyone ever losing more money than they deposited. I don’t even see how that could be possible, apart from a computer glitch that caused them to miss a margin call.
My guess is that Alpari’s lawyer wanted them to have that just to “cover their butt” in case some disaster happens. I wouldn’t worry about it.
In addition to Phil’s advice, I would suggest a phone call to this broker and get them to explain the matter exactly to you - exactly the way you want it - no doubts remaining.
Then you can be sure
But I think you will find that Phil is correct.
i have had a senario with capital spreads were the price moved so fast it jumped all stops including the own companies 80% the account ended up �50 over drawn
this happend when i very first started, and has not happend since, the statement is a universal statment used even when you phone up a broker to buy normall shares in the uk, that stament is always repeated, i use alapri now and i have never had a margin call but i have used there stops TS and TP and they have always worked
i only had one clicth were a pending oreder was execcuted 3 pips b4 the target price, but again you can find that in the T & C’s aswell