Forum after forum, thread after thread, I see different views on FXCM.
Are they really that bad? If so, why are they one of the biggest forex brokers out there.
Its almost like Amway going on here. A bunch of bad over exaggerated, under informed rumors are trying to destroy a profitable business.
I’ve noticed that thier spreads get up to 5-6 pip range, even 9 sometimes, but i’ve also seen them as low as 1, I’ve even seen .5.
They offer free webinars for beginners. You get a free 8 hour course when you open a live account. They have online customer service when through all of the trading hours. All of these things I’ve personally used and have found little or no complaints with.
Yes, im new to forex, but im not new to seeing people badmouthing something they don’t know entirely.
So with that being said, here are a couple questions to answer:
Have you used FXCM? If so, please tell me how your experience was and how long it endured. Also, if you stopped using FXCM who did you switch to and why.
What are some of the good and bad things you have heard about FXCM?
Your complete and honest input would be greatly appreciated!
I just cancelled my account with FXCM and have opened one with EFX Group.
I thought that brokers would want customers to succeed so they will trade more & larger lots & they make money from the spreads. However my impression so far has been they have little interest in a customers long term success. I’m not referring to losing trades which are a cost of doing business, but other incidents that drained money from the account while customer service remained indifferent.
I am going to try a straight commission broker, and MB Trading (they now own EFX Group) is one I already know. I had an equities account with them a few years ago and had no complaints … customer service very friendly & efficient and no problems in the account itself.
What I also like about EFX Group is you can trade anything from a micro to a standard lot from the same account … so as your skill grows, you can stay put & don’t have to open a different account.
I did want the GFT charting software too, but, like Brian, I’ll have to figure out another way to get that. For the moment I want to experience dealing with a fee-based ECN broker and see if that feels less like I am on one side of the fence trying to stay alive while my broker is on the other, throwing spears at me
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I suggest you look into a ECN broker like EFX Group (MB Trading). Earlier I did not think it made such a difference but what I am hearing everywhere now is that it does, not just in trading fills, which are obviously important, but also in the way you are regarded. A fee-based broker makes money as long as you stay alive to keep trading. With the others, who supposedly make their money from the spreads … it seems they may make more money by gobbling up the smaller accounts. Sad, if true.
To answer some of your questions: I was with FXCM for 3 months, they have been my only broker up to now. I had one rep, a lady, who was very kind & helpful, but if I had to contact customer service in a generic way, not a specific individual, the responses were automated & often not relevant to my question. I think some of these brokers have ‘bots’ responding to emails by picking out key words and sending generic standardized answers.
I did not find their trading tools particularly helpful, they still do not have MT4 running properly so I was never able to use their version.
News trading and spreads … I guess no worse than anyone else. Stops taken out? Yes, always … I learned quick not to show them my stops which meant I could only trade when I was at the computer.
You can also pm me if you have specific questions.
I was with FXCM from 2005 until earlier this year.
Honestly, I didn’t have much of a problem with them. Their customer service was okay, but honestly they just aren’t the most trader friendly firm around. Everything took too long for me. If you wanted to fund your account, it took hours or sometimes days. If you wanted to change your margin requirements, that took hours and sometimes days. And their charting and software options weren’t great to me - if I wanted to check trades on my laptop (and not a shabby one at that, with a great network), the software would grind everything to a halt. It was too cumbersome for me after a while to trade the way I want to trade.
If you trade exotic pairs (I miss my EUR/NZD and GBP/AUD), do NOT need a mini or micro account, or need your broker to be a great news source, then FXCM could work well for you. If you don’t fall into those categories, I’d look elsewhere. But that’s just me.
I think I trade with FXCM once upon a time when I was just getting started, but didn’t stick with them long. They are the most popular simply because they absolutely swamp the air and webwaves with marketing and generally try to make themselves the most visible brokers out there. My impression of them is that it’s all about the numbers. The fact that they actually encourage “hedging”, which is extremely adventageous to brokers, tells me all I need to know about their ethics.
I think FXCM is ok, I haven’t had any problems yet. Their spread does get quite high sometimes, especially sunday and fridays nights. But I have doubled my initial investment in 6 weeks of trading, which I think is excellent. However it has taken alot of time learning and reading, I have probably been a lucky fool, as i started a demo and within 4 days decided I had to open a real account. I have had to learn from scratch and I have learned in the past 6 or 7 weeks more than what I learned in my entire first year of university. I have also spent upto 6 hours per day on fxcm to achieve my profits. As for hedging, I think hedging is a great thing, in fact I have never lost on a hedge yet( touch wood), i think traders need to have alot of common sense and don’t expect money for nothing. However I am going to try another few brokers and see the differences…
I’m an FXCM customer. I started out with a $2000 account and made around $25K in about a month and a half. Didn’t have a problem with them per say, although they have slippage usually which is very frustrating. By the way I also lost 20K from my account But that was my fauly becasue I was greedy.
Their platform is very easy to use. they also offer MT4. But since I work on MAC I use their proprietary Java platform. I think they’re ok so far.
I tried to use MB trading but it confused the hell out of me… Also spread on MB Trading very faar wider than on FXCm plus they charged me commission.
Hi AR3. Do you mean FXCM’s MT4 platform? No, I didn’t because they have a different policy and deposit requirements for their MT4 platform. If you open a regular account with them initial deposit is only $400. But if you want to trade with their MT4 platform, minimum opening deposit is $5000 (please check yourself, that’s what their Customer Service told me.)
I just found out yesterday that MB Trading is offering MT4 platform! That’s great news! It changes quite a few things for me actually. biggest drawback to their services was their complicated platform. But, MT4 changes quite a few things.
If you want ECN broker with MT4 than check out MB Trading. I will be considering re-opening my account with them
FXCM is a rather nice package and allows you to trade to 5 decimals, which is very nice indeed.
their poor charts can be corrected by simply using ANY decent MT4 demo charts and transferring the prices, once you have figured out how many pips difference there is, as it remains a constant.
the slippage issue is easily remedied by setting a tp point from your MT4 charts (allowing for that stated “difference” in final price, although i will say that any slippage ive seen is rather small as compared to SOME brokers out there !
all in all its a very nice broker with an EXCELLENT data feed (they are a liquidity provider as well as being a broker) and i use their feed to power one of my 3 charting systems. (good enough that i pay for it )
LEARNING how to use it is simply not that hard for anyone who can use a computer, so that cannot be a real problem as even one so simple as myself can switch between my MT4 broker, MB and FXCM.
additionally, FXCM is one of the highest liquid brokers around, so they shouldnt be going out of business with a bang anytime soon !
enjoy and trade well
mp
[B][I]Within the great hall at Elfinore stands a wondrous coffer, precisely four cubits square and securely latched against the outside world. Inside that repository, shut away from impertinent eyes, abides many an intriquing trading secret garnered from around the world and over the ages !
As a child, i used to watch from the darkness as the secrets were debated and annotated by the elders. No one there held a single thought of my presence – BUT I KNOW WHERE THEY HID THE KEY !![/I][/B]
But that was my fauly becasue I was greedy.