Tagged: forex.com

FOREX WARNING BLOG- do u want me to keep writing it? is it helping anyone?

I feel like no one cares. Like I’m wasting my time.

If you want me to keep going than please say so.

My whole goal is to try protect people from getting scammed by the whole change in the FOREX market from real to simulated. While 9 thousand people have visited my blog- most come to try put advertising in the comment sections.

I’ve had maybe 25 real comments. Is that all the real readers I’ve had?

If this blog has helped you- please let me know, Gathering the information takes a lot of time and is pointless if no one is making use of it.

COMMENT IF YOU WANT THIS BLOG TO BE CONTINUED….

2,2014 FOREX.COM/GAIN CAPITAL risk statement CRITICAL FACTS -why they are NO GOOD!!

It drives me crazy that people sign these agreements without understanding what they are agreeing to! If you did understand- there’s no way you would sign!

BY SIGNING – YOU HAVE AGREED TO ALLOW THEM TO RIP YOU OFF USING MULTIPLE METHODS TO DO IT AND HAVE ALSO AGREED THAT YOU WONT TAKE ACTION AGAINST THEM FOR DOING IT.

FOREX.COM is GAIN CAPITAL

The following are just some of what you are agreeing to-First- they make sure you know they are working against you and that you cannot trust them. They detail how they will move the market against you and then have you agree with them doing this to you.

copied from the secondary risk statementon feb 20,2014 http://www.forex.com/pdf/secondary.pdf

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Please understand that all of your capital may be at risk.
FOREX IS AN OVER THE COUNTER (OTC) MARKET, MEANING THE FOREIGN CURRENCY TRADING YOU ARE ENTERING INTO IS NOT CONDUCTED ON AN EXCHANGE.
AS A MARKET MAKER, FOREX.COM IS THE COUNTERPARTY IN THESE TRANSACTIONS AND, THEREFORE, ACTS AS THE BUYER WHEN YOU SELL AND THE SELLER WHEN YOU BUY. AS A RESULT, FOREX.COM’S INTERESTS MAY BE IN CONFLICT WITH YOURS. UNLESS OTHERWISE SPECIFIED IN YOUR WRITTEN AGREEMENT OR OTHER WRITTEN DOCUMENTS
FOREX.COM ESTABLISHES THE PRICES AT WHICH IT OFFERS TO TRADE WITH YOU. THE PRICES OFFERED MIGHT NOT BE THE BEST PRICES AVAILABLE AND DIFFERENT PRICES MAY BE OFFERED TO DIFFERENT CUSTOMERS.
IF FOREX.COM ELECTS NOT TO COVER ITS OWN TRADING EXPOSURE, THEN YOU SHOULD BE AWARE THAT
FOREX.COM MAY MAKE MORE MONEY IF THE MARKET GOES AGAINST YOU. ADDITIONALLY, SINCE FOREX.COM
ACTS AS THE BUYER OR SELLER IN THE TRANSACTION, YOU SHOULD CAREFULLY EVALUATE ANY TRADE
RECOMMENDATIONS YOU RECEIVE FROM FOREX.COM OR ANY OF ITS SOLICITORS.

I have read, and understand the Risk Disclosure

INTERPRETATION:

  • You are ONLY trading against your broker.                                                             
  • Your broker can choose to not cover their own exposure- causing the market to swing against you because they will profit more that way. 
  • They control the prices you see+ they are the only other person trading with you therefore- they create the appearance of a market swing- to take your money away from you.
  • They are allowed to manipulate you by providing bad reccommendations.

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Customer Agreement

http://www.forex.com/forex-account-forms.html

4.1.
Pricing Information
.
FOREX.com will make available, by posting on the
FOREX.com Online Trading System , MetaTrader®Online
Trading System or by telephoning the FOREX.com
Trading Desk, Bid Prices and Ask Prices at which FOREX.com
is prepared to enter Foreign Currency Contracts Cross Currency Contracts
, or Metal Contracts with Customer. Each Bid Price or Ask Price shall be for a Spot
Contract with a specified Value Date and shall specify each Eligible Foreign Currency or tradable U.S. dollar based currency pairs involved where applicable
.FOREX.com expects that these prices will be reasonably related to the bid prices and ask prices available in the market at that time for similar transactions, but a number of factors, such as communication system delays, high volume or volatility can result in deviations between prices quoted by FOREX.com and other sources. FOREX.com makes no warranty, express or implied, that Bid Prices and Ask Prices represent prevailing bid prices and ask prices. In addition, these Bid and/or Ask Prices may reflect, at the direction of the Introducing Broker named above, additional pips added to the BID and/or ASK price that may result in an increase of the dealable spread available for the Customer’s account as well as a per trade or per lot commission and/or fees

INTERPRETATION:

They are not obligated to use prices that match what you might find on another site -keeping in mind- everyone makes there own prices and there is no actual market- your still just trading against your broker. Not other customers- meaning “high volume” and “volatility” don’t exist. They create the appearance of that environment at will.

***************************************************************

5.MARGIN REQUIREMENTS

Customer’s Account will be under the control of FOREX.com FOREX.com may change Margin requirements at any time, without prior notice to Customer, and may call for additional Margin (“Margin Call”) at (x) any time Customer’s Margin Balance falls below FOREX.com ’s Minimum Margin Requirement as applied to that Account;and (y) any timeFOREX.com, in its sole discretion, believes that it is prudent to do so.FOREX.com may at any time liquidate Customer’s Account in accordance with Paragraph 9.FOREX.com may withdraw funds from the Customer’s account without notice: (x) to ensure that Posted Margin equals or exceeds Required Margin; and (y) to satisfy any payment obligation to FOREX.com, including commissions,fees and charges in respect of Customer’s Account.

INTERPRETATION:

  • They control your account
  • They can change your margin requirement for no reason at all and
  • They don’t have to tell you before they change it. Furthermore
  • They can liquidate your account if it doesnt meet the new limit
  • and do it without prior notice

You want to know how these companies take peoples money? You sign an agreement that says they can! Who in there right mind would agree to have them get to move your margin limit without warning or notification? Then get to liquidate your account based on the new requirement- without ever notifying you! And they get to do this at their sole discretion- that means they are not required to have any form of valid reason. They can do it just because they feel like it.  They have the freedom to decide what the margin will be at their sole discretion as well- there are no standards they have to follow. They can double your margin requirement, or triple it- well… they will move it exactly enough to make sure you dont have enough in your account to cover it- at the same time swinging the market against your outstanding orders- thereby not only taking all your money- but making it so you then owe them money for the losses that happened when they liquidated.

I dont have time to keep writing this all out-  just read each paragraph carefully-The words that alert you to foul play are as follows

“at it’s sole discretion”  = “just cuz they feel like it” no reason required!

“without prior notice” = They can do it without warning you

“without notice”= they don’t have to tell you they did something- like change the agreement- and continuing to trade = agreeing to the changes they made- but how are you supposed to know changes were made?  exactly!

read these sections carefully!
4.3. Trade Matching
4.5.  Position& Trading Limits (they can control the speed you trade, the number of contracts you can hold- whatever is necessary to keep you from getting ahead.
REMEMBER- their income comes from taking your money. For you to profit- they have to take a loss. Commission is only a tiny recoup of the money they lost- it’s not a profit for them at all. To stay in business- they can’t let you keep any money you win and they have to take your money as well. They are paid to use all these rules to make sure you walk away with nothing. If you have made money- they will make it hard to get it out – while making the market suddenly look favorable- so you will reinvest not just your starting money- but your profits as well- and they keep you winning until you get confident and get close to your margin- then boom- they  move your margin and take everything.
FXCM told me how this is all done. The whole game that is being played on people. He told me (back in 2009) that no one had ever walked away with one dime from them. Every single person that traded with them eventually lost everything- and then some. He was the CEO of the company- warning me not to trade a charity’s money. At least they had enough morals to stop me. While I’m grateful- I took it upon myself to try warn everyone else.
I don’t even know if anyone is being saved by my blog. If anyone even cares that this blog exists. 
If you want me to keep writing this blog- please tell me as a comment.
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FOREX.com is a division of GAIN Capital Group, LLC

FOREX.com is a division of GAIN Capital Group, LLC

AND GAIN CAPITAL IS OFF EXCHANGE = not real trading