It is quite not impossible. Frankly, I consider it is a 9:1 ratio that some did it for reasons nobody told us at tv than the other way around. Some pockets are for sure bigger now than before, lol.
Big Mistake. You are playing russian roullette with just one empty chamber.
a broker that gives you errors when you try selling is a broker that knows how to take a stop loss out, the myth that is if you look at 2 charts and they look the same then it means they are good is just that a myth, because a short quick spike might nor record right especially when looking at 5min or so chart, remember how many people got robbed by full tilt poker, people didnt remotely realize how much control they have, many people lose money simply because of shady brokers and id say most brokers are.
Even ECN brokers that use their own third party company are not to be trusted, educate yourself and you will discover the truth.
you can spot a newbie when they say they dont set SL
+1 Agreed. SLs are absolutely necessary no matter what kind of strategy is used.
Do forex brokers hunt your stops? Well, no, actually… Here’s why. The fx market is dominated by large banks, central banks, hedge funds, pension funds (so-called “real money” in fx lingo because they don’t use leverage). I once read that each pip represents about $50 million being exchanged during busy market hours ( mainly London-NY overlap). The typical retail forex brokerage ( read “bucket shop” ) simply doesn’t have that kind of capitalization. Even big retail brokers like Oanda or FXCM couldn’t move the market much.
So, who’s hunting your stops? Answer: the banks. Do they do this out of spite? No, they do it because they have to in order to fill large orders. For example , a large corporate client tells the bank it needs to exchange dollars for euros to purchase German auto parts. OK, BUT the client wants to the best price for his dollars! The bank knows there is a huge cluster of sell stops below ,say, 1.35. It will sell, pushing the market to where the stops are , then start buying eur/usd.
The point is brokers aren’t gunning your stops - the big boys are, and it’s nothing personal, it’s business. Now that you know this, maybe you’ll start putting your stops at better places. If you’re really clever, figure out where the stops are and join the banks in a little stop-hunting expedition. That what I do and it’s proven quite profitable
Do forex brokers hunt your stops? Well, no, actually… Here’s why. The fx market is dominated by large banks, central banks, hedge funds, pension funds (so-called “real money” in fx lingo because they don’t use leverage). I once read that each pip represents about $50 million being exchanged during busy market hours ( mainly London-NY overlap). The typical retail forex brokerage ( read “bucket shop” ) simply doesn’t have that kind of capitalization. Even big retail brokers like Oanda or FXCM couldn’t move the market much.
So, who’s hunting your stops? Answer: the banks. Do they do this out of spite? No, they do it because they have to in order to fill large orders. For example , a large corporate client tells the bank it needs to exchange dollars for euros to purchase German auto parts. OK, BUT the client wants to the best price for his dollars! The bank knows there is a huge cluster of sell stops below ,say, 1.35. It will sell, pushing the market to where the stops are , then start buying eur/usd.
The point is brokers aren’t gunning your stops - the big boys are, and it’s nothing personal, it’s business. Now that you know this, maybe you’ll start putting your stops at better places. If you’re really clever, figure out where the stops are and join the banks in a little stop-hunting expedition. That what I do and it’s proven quite profitable
Yep, the banks will look for the lucrative stops that actually pay them, the ‘brokers’,on the other hand, have their ways.
Stop loss hunting does Occour. Both by big players and brokers both. The big boys are able to place large orders in order to push price in a certain direction to ‘hunt’ stops. Brokers are able to widen their spreads or indeed deviate from the actual spot price of the underlying. I have seen numerous occasions when an underlying is at a certain price and both the bid and the ask price of my broker feed are above or below my Central feed.
Never forget that fx is an otc (over the counter) product and as such is not as uniform or as tight as it might be.
Its such a pain to become traders with all of this variable spread and stop loss hunting.
I’m talking about fake price, I’m okay if its a real price whether they use huge money to move the price or not.
I swear I have seen myself different chart between broker where one chart had so long tail where the others didn’t.
Not sure if its a technical bug or stop loss hunting because its too obvious and its like to telling everyone[I] " Hey, we manipulate the price ".[/I]
Hi,
I’ve been victim of this practice yesterday Friday August 12nd, but I think it’s far worse what happened to me, because I do the orders without stop-loss!! So, suddenly the stop loss appeared!!, made by the MF broker… I live in Spain, would anybody know how to dennounce this? They faked my orders!!
Perhaps you got margin-called?
No, I didn’t margin call.
Hi!
IMHO, its a fiction. The scenario that you had mentioned is when the price go to the price level that all the commercial and big player position their execution. The price will always go to these levels as these level provide a lot of orders. We as a retail trader definitely will never know where is the price level unless you join us or you are harworking enough and google it for yourself. To resolve this matter in the easiest way is to install pivot point in your MT4 templete (suggestion). PM me to get it.
Hope this helps.
“Safe Trade, Trade with Conviction”
Cheers!
I think you are completely wrong, but I have a question. First, if you look at different feeds, you will always see wick differences that are caused by Market Makers hunting their customers stops. On a grander scale, the Commercials (and Central Banks) do the same thing, but they are hunting for stops/liquidity of the larger retail clients, such as the Funds. If price movement is independent, then how is it that Currency Futures moves nearly mirror the Spot market. Are the same buyers and sellers doing the same thing in both markets across all currencies. This would be impossible, unless a computer program were moving them - bank algos. I’m sorry, but with all due respect, liquidity raids are what move the markets and are obvious if you’ve been taught what to look for.
That will perhaps be [I]mostly[/I] because of all the HFT’s in the markets, these days? And that will also perhaps be why - exactly as one might expect from that being the major causative factor - the exactness and speed of those correlations between the spot and futures markets have been increasing over recent years, along with and in proportion to the increase in automated HFT’s?
(Other than on that point, I agree with the perspectives you express above.)