Menu
Sister Sites

  • EURCHF collapses as SNB gives up on 1.2000

    From forexlive.com

    Crazy price falls in an instant as the SNB decides to remove the CHF cap at 1.2000 and cut interest rates further EURCHF posts lows of 0.9270.. yes 0.9270 as the world and him mum bails out USDCHF also collapses to 0.8400

  •  Guest
  • | IP XX.XXX.133.28
frozen at .7967
  •  Guest
  • | IP XX.XXX.204.196
retail brokers are now copulating with their customers whose accounts had had long CHF position,
and are in the processes of invalidating any short positions
1.16 to 0.3 on my chart... 0.3...
think im dreaming
What the actual fuck... thanks for the heads up... assholes
They've just now temporarily fucked all markets.. lol..
  •  Guest
  • | IP XX.XXX.212.26
The Swiss People thank their CB for not longer wasting their Money!
  •  Guest
  • | IP XXX.XX.43.174
wow wow wooooow
It was just a matter of time ....
  •  Guest
  • | IP XX.XXX.155.221
But if rates are LOWER why is the CHF stronger?
Just lost everything............Margin call
If the interest rate went further negative why did the CHF get stronger?
  •  Guest
  • | IP XX.XXX.127.237
Because the CHF was seen as a safe haven currency against falling euro and still is seen as a safe bet
  •  Guest
  • | IP XXX.XXX.158.139
what is my respite with IC Markets will they invalidate the trade and return my money? I had a margin call
my instinct said today got something happen to chf..ohhh gosh it really happen..and i didnt enter any post?..what a waste!
  •  Guest
  • | IP XXX.XX.71.167
Because the other currencies are worst off than CHF. CHF is at current rate ONLY because of the cap. Without the cap, it reflected its true strength.
please anyone tell me why drop usd/jpy????????? is it tempory?
Quoting kanchmadush
please anyone tell me why drop usd/jpy????????? is it tempory?



Due to the Swiss National Bank negative Rate cut effects the CHF related pairs only much more aggressive like Tusnami ,it had collapesed all Financial instiutions,corporates & retails investors , small FX traders & Newbies shocked & Terribly horror like this masive move, other than CHF currency pairs ,quit normal within a couple of hours ,don't be panic.
never experienced like this before...over 3000 pips in jst 15 minute....fuhhh..............will it happen again this 19 march??????
Quoting jegas
Due to the Swiss National Bank negative Rate cut effects the CHF related pairs only much more aggressive like Tusnami ,it had collapesed all Financial instiutions,corporates & retails investors , small FX traders & Newbies shocked & Terribly horror like this masive move, other than CHF currency pairs ,quit normal within a couple of hours ,don't be panic.
All pair vs JPY going down (JPY became strong) dont know until when. Hope tonight will reverse back.
Quoting jegas
Due to the Swiss National Bank negative Rate cut effects the CHF related pairs only much more aggressive like Tusnami ,it had collapesed all Financial instiutions,corporates & retails investors , small FX traders & Newbies shocked & Terribly horror like this masive move, other than CHF currency pairs ,quit normal within a couple of hours ,don't be panic.

ohh..thanks..
Quoting Guest
But if rates are LOWER why is the CHF stronger?
Quoting Optimystic
If the interest rate went further negative why did the CHF get stronger?
CHF strength is related to the fact that CHF will no longer be devalued alongside EUR. So there were probably not enough buyers to hold the fall until wherever the fall stopped (at least for now). It would probably have strengthened even more than it has if SNB had discontinued their peg against the Euro without any rate-cut at all. SNB cut the rate precisely because they wanted to avoid or at least minimize the very thing that has just occurred but I guess the rate-cut wasn't enough for the markets (for the moment) & CHF strengthened significantly anyway.
  •  Guest
  • | IP XXX.XX.125.103
I became very rich
What's with the NZD rise? Not a safe haven currency - and no relation to Swiss right?
I was wondering why the seemingly unexplained euro melt down against usd. Also usd/chf is frozen for now. Now I understand.
Anything can happen in the markets..anything
Quoting Azg1001
What's with the NZD rise? Not a safe haven currency - and no relation to Swiss right?
Wondering the same thing.
Market is manipulated and the all forex broker scammed us today with high spreads.
Whilst I feel sorry for the longs that have been absolutely smashed, the writing has been on the wall for the longest time now. I am only sick that I had no shorts but to be honest, even I was thinking a crash through to 1.15/16 at the most. I have compared this look at the charts, to which I have just done a triple take not believing it, to the 9/11 attacks. I literally have goosebumps
Quoting Optimystic
If the interest rate went further negative why did the CHF get stronger?
Because they acknowledged that they can no longer hold the peg. The SL's under that peg were massive and any significant break was going to slip past those stops.

I still cannot believe it but there it is. Where to from here Swiss? Perhaps now you will look back at your Gold policy!
Why are chf pairs not moving....at all?
  •  Guest
  • | IP XX.XXX.164.138
Just made a ton of pips going long from the bottom AUDCHF!! I think this will at least close the gap halfway.. target .7800!
Just made a ton of pips going long from the bottom AUDCHF!! I think this will at least close the gap halfway.. target .7800!
  •  Guest
  • | IP XXX.XXX.170.61
Does this means that EURUSD is no longer inversely correlated with USDCHF.
its a fucked up situation and thosse who lost big must be in great pain.
Quoting Azg1001
What's with the NZD rise? Not a safe haven currency - and no relation to Swiss right?
Hi : NZD and AUD are strongly correlated to the price of Gold/Silver and will probably rise even more if metals climb higher
To the people who got margin calls and lost everything: Do you not use stop losses? If you do, did price just smash through it before it could close?
Used stops, and for the moment my history says they got closed with about 90 pips lag. I can live with that.

However, anout 8 hours later the broker (CMC Markets, any other using them?) sent an email saying they they will "adjust the orders which may give you a worse execution price" (not the exact wording as the letter is in Swedish but pretty close).

So now I am scared as hell waiting for see what price they will give me. Feeling more than a little bit crappy to be honest...
  •  Guest
  • | IP XXX.XXX.15.7
should it not be illegal for the banks to do this without notifying the people about the announcement? i mean in a free world of course?
Newbie here (just started trading a few months ago), and I don't really have much to add to the conversation. But I just feel like I want to say I'm sorry about those of you guys who got hammered by this sudden decision. Like others here have said, when even longtime, conscientious traders were taken by surprise, something doesn't seem right. I also notice that even some people who were on the "good" side of this collapse are more shocked than they are happy... I assume because they realize that "there but for the grace of god...."

As for myself, I mostly stick with the 2 or 3 most common pairs, and so I've never traded the CHF yet. So of course I wasn't directly at risk in this thing. I DO however have an open position in EUR/USD that's been hit pretty badly, and I'm just lucky that (as a newbie) I'm starting out with very small trade sizes. So even if it keep going against me, I don't stand to lose TOO awful much. You guys who lost tons in the CHF though... yeah, I'm sorry you're having to go through this right now.
Quoting Razor_trader
Because they acknowledged that they can no longer hold the peg. The SL's under that peg were massive and any significant break was going to slip past those stops.
That's the thing, you know, it was just so obvious that any significant break of that level was going to cause a massive drop & yet so many people seem so shocked by something that was inevitable.

Quoting Ratmach
Newbie here (just started trading a few months ago), and I don't really have much to add to the conversation. But I just feel like I want to say I'm sorry about those of you guys who got hammered by this sudden decision. Like others here have said, when even longtime, conscientious traders were taken by surprise, something doesn't seem right. I also notice that even some people who were on the "good" side of this collapse are more shocked than they are happy... I assume because they realize that "there but for the grace of god...."

As for myself,...
As has been said, it wasn't something that one couldn't have seen happening, it was sort of inevitable, it was only a matter of time. And knowing this, one could either have decided not to trade CHF-pairs at all or be prepared to be slipped by several 100s or 1000s of pips when the inevitable happens & manage one's positions & leverage accordingly. I didn't have any CHF positions open but one must never be so leveraged that any such uncertain event can wipe them out. It's sad for those people but markets are uncertain & that's how they work.

Anyway, you seem like a very mature newbie in terms of how you intend to trade & definitely so, compared to me when I was a newbie
Quoting deadant
Used stops, and for the moment my history says they got closed with about 90 pips lag. I can live with that.
...
So now I am scared as hell waiting for see what price they will give me. Feeling more than a little bit crappy to be honest...
Update: I just got my "account adjustment" - the account is still in the black (though ~45% lower) so I'm quite relieved but far from happy.

Calculating (roughly) backwards from the amont of money removed it seems they closed a bit over 1200 pips after my SL, some 10-15 times what was first shown.

"Funny" thing is that according to the 30s candle charts price didn't reach that level until over four minutes later (after my SL should have been triggered). Using the absolute low of that 30s bar where my stop was I should have gotten away with a way smaller loss (~1/5 or so). Still waiting for an explanation on that but not expecting anything to change.

So that's my story from tonight. While I got of relatively easy I feel the pain of those who did not, and wish all the best in finding a good solution.
"... it seems they closed a bit over 1200 pips after my SL"

And yet...

"... I got off relatively easy..."

Wow, yeah... how scary is that?
Stop losses we're useless because some brokers couldn't close orders with their liquidity providers.
I believe most brokers will have to cover the clients losses which may send them broke...
Quoting deadant
"Funny" thing is that according to the 30s candle charts price didn't reach that level until over four minutes later (after my SL should have been triggered).
I don't know how it applies to what you've been through, but remember that FX charts are not like stock charts.

A stock chart shows trades, and a price appearing on the chart means a trade happened there.

An FX chart shows the current bid price your broker is offering based on what they can get from their liquidity suppliers, and all a price appearing on the chart means is that was the bid at that time. It doesn't mean there was a trade at that price, it doesn't mean there weren't trades at other prices, all it means is that's the bid they were showing.

Glad to hear you got off relatively easy !
million of retail trader, bank and broker lose lot of money yesterday.

chf what a bad guy ....
  •  Guest
  • | IP XXX.XXX.197.2
Always a risky market do and go with TC in forex
  •  Guest
  • | IP XX.XXX.249.122
I am a CMC markets client and my account has been 'adjusted' too. I do not know about others but I intend to dispute the charge. In my case, the positions were closed at 9.31 exactly and looking at other providers there is no gap on that minute for my CHF pairs which did not include EURCHF but at 9.32 and 9.33. I had both short and long positions. The adjustment they have made is just a lump sum so it is no way to see how they calculated the adjustment figure but it would appear that, roughly, as if the winning positions were not let run and the losses are re-filled at the worst (for me) possible price.

It appears extremely fishy and if you value your hard earn money you should start a complain.
  •  Guest
  • | IP XX.XXX.241.70
Just for future reference... CMC markets got fucked yesterday as the Financial Ombudsman has required to refund the amounts that substracted from clients accounts after the SNB decision in January 2015. In short, CMC claimed its platform was unreliable -yes, you read right- and the Ombudsman view is that it was not convinced of CMC reasoning for charging clients.

I hope there are further consequences now from the FCA and their license gets removed.
  •  Guest
  • | IP XX.XXX.21.70
Join FF
  • Story Stats
  • Posted: Jan 15, 2015 4:45am
  • Submitted by:
     Newsstand
    Category: High Impact Breaking News
    Comments: 48  /  Views: 18,017
  • Linked event: