DeltaStock Inc. - Views and Comments

Hello to all traders!

We’ve recently joined the “Preferred Brokers” section and we will be glad to have a discussion with you regarding our proprietary trading platform Delta Trading and the terms and conditions for trading spot Forex with us.

We will appreciate having your comments and recommendations and all your questions will be addressed properly and promptly.

Happy Trading by Deltastock AD!

Can you go over with us your spreads for all currency pairs and also, what is your definition of scalping?

Thanks for your answers

Welcome to the forum.
I noticed on your platform that DeltaStock is the counter party on all level2 trades. Does this put your company at risk? Could you explain briefly how this works?

Do you have an office in BALTIMORE, MD USA?

Could you update us on the progress of the pending NFA registration?

Hi WHTenn,

In reply to you post, I am glad to inform you that traders can choose and switch between trading at fixed-dealing spreads and trading through the Level 2 FX quotes module at variable spreads, depending on the market's liquidity at any given moment. The complete list of all currency pairs available for trading, as well as their spreads, please find here:

Dealing Spreads

Our definition of scalping is no different than the one popular and wide spread among the trader community - a strategy focused on profit making on small price moves. I beleive that our attitude towards scalping is what matters more in this particular case. DeltaStock does not impose any limits or restrictions on the trader's style.

Cheers!
Vladimir

Thanks nvwine ,

Yes, DeltaStock Inc. is the counter party to all Level II trades. The liquidity seen in the Level II module is generated by our clients and DeltaStock. The liquidity, as generated by our clients through the Level 2, has been cleared on a client–to–client net basis. The rest has been provided by DeltaStock, which clears on the Forex market. As you might have already noticed, the liquidity provided is not yet ample, but we expect it to grow as soon as the number of clients trading through the Level II increases. That is the reason for us to limit the maximum size of a single market order placed via Level II to a maximum of 5 MIO. Traders have been witnessing these days that companies claiming they have large banks as liquidity providers switched on the “CODE RED” alert across the forum boards .

Please note, that DeltaStock has recently launched the option of trading through Level II.

The company acts as a market-maker and also provides No Dealing Desk Execution through the Level 2 module. Risk can never be completely excluded. There is always risk and the lower the risk the better the protection of client's funds .

Being an EU member as of January 1st, 2007, Bulgaria has harmonized its regulatory framework for certain sectors and financial services has been just one of them. Following the DIRECTIVE 97/9/EC of the European Parliament and of the Council of March 3rd, 1997 on investor-compensation schemes:

"...(3) Whereas, however, no system of supervision can provide complete protection, particularly where acts of fraud are committed;

(4) Whereas the protection of investors and the maintenance of confidence in the financial system are an important aspect of the completion and proper functioning of the internal market in this area; whereas to that end it is therefore essential that each Member State should have an investor-compensation scheme that guarantees a harmonized minimum level of protection at least for the small investor in the event of an investment firm being unable to meet its obligations to its investor clients;

(5) Whereas small investors will therefore be able to purchase investment services from branches of Community investment firms or on the basis of the cross-border provision of services as confidently as from domestic investment firms, in the knowledge that a harmonized minimum level of protection would be available to them in the event of an investment firm being unable to meet its obligations to its investor clients;..."

a Security Investors Compensation Fund (SICF) was established in Bulgaria to guarantee payment of compensation to the clients of an investment intermediary (Forex/Securities Broker) by the raised money in the Fund in the cases where the investment intermediary (Forex/Securities Broker) is not able to pay its liabilities to the client, due to reasons directly linked to its financial condition. SICF pays out compensation to every client of an investment intermediary (Forex/Securities Broker) up to 90% of the amount of the receivable, but not more than:

12 000 EUR - for the period from January 1st to December 31st, 2007;
15000 EUR - for the period from January 1st to December 31st, 2009;
20 000 EUR - after January 1st, 2010.

Pursuant to the Law, DeltaStock Inc. is required to annually contribute to the SICF a payment on its own expense, equal to 0.5% of the raised clients’ funds.

The investor-compensation scheme is applied to non-professional investors only!

Our fully-owned subsidiary Deltastock LLC is Baltimore, USMD, based and is currently being reviewed by NFA following its FCM application. You could easily keep an eye for any further development by just using our NFA ID # 0373789.

Best!
Vladimir

Vladimir, Thanks for the information.

nvwine, you're always welcome!

Cheers!
Vladimir

What is your policy on news spike trading?

Hello,

DeltaStock's policy is one of providing clients with a maximum flexibility in terms of advanced tools and conditions to best fit any trading style.

News trading has really gained speed since the US NFP data release in August, 2004. Then, slippage in trade execution came up to the forefront of traders' talks and since then, it has been considered a major criterion (in my opinion) when choosing an online Forex Broker.

As mentioned a couple of posts above, DeltaStock does not impose any limits or restrictions on the trader's style. In terms of trading in news times, when volatile markets are observed, you have two possible options at hand - each of them, a click away:

1. Should you trade at the fixed dealing spreads in Delta Trading platform, then your Limit, Stop, OCO...order might be executed with a slippage! Please note that these spreads are fixed under all market conditions, except for force majeure! You can switch to the Click & Deal option when placing market orders in volatile market. Your market order might be executed at a better or worse price, compared to the placing price, depending on the particular moment. Trading at the fixed dealing spreads is commission free and DeltaStock is compensated from the Bid - Ask spread.

2. Should you trade through the Level 2 FX module (L2), i.e. NO Dealing Desk Execution, you can only have your Limit order executed at the placing price. There is NO slippage when trading through the Level II module of Delta Trading platform.

You can open your Forex position by placing an order at the fixed-dealing spread and close it, for example, through the Level II module (L2) - both options available in one platform. You are the one to decide which option to use and when . DeltaStock does charge commissions for trades through the Level II module, where the spreads can narrow or widen significantly, depending on the market's liquidity at any given moment. The liquidity in the L2 is generated by our clients and DeltaStock.

Rgds,
Vladimir

Thanks for the excellent answers Vladimir

It was my pleasure, WHTenn !
Cheers!
Vladimir

Thank you, Vladimir.

However, I'm still confused

On the DeltaStock website it says that DeltaStock is the counterparty to all L2 trades.

Let's say I opened an account with you and I started making a significant amount just news trading using either of the execution paths you mentioned.

Would I not still run into problems because my profits are coming right out of your company's funds since you are the counterparty?

Thank you for your time,
Nathan

Dear Nathan,

DeltaStock is not an exchange, where clients’ orders are directly matched! Pursuant to the regulations by the Bulgarian National Bank (BNB) and the Financial Supervision Commission (FSC), DeltaStock has always been a counterparty to client’s trades and under these same regulations we are required to clearly indicate that before the clients, so there could be no misleading or misconception!

NO Dealing Desk Execution at DeltaStock (trading through Level 2) explained:
Client’s orders in the Level II module are matched at the entered by them limit prices. However, please note that following the respective regulations DeltaStock must be always between the buyer and the seller. The company is compensated by the commissions it charges for trade execution via Level 2. As mentioned in one of my previous posts - the liquidity seen in the Level II module is generated by our clients and DeltaStock. The liquidity, as generated by our clients through the Level 2, has been cleared on a client–to–client net basis. The rest has been provided by DeltaStock, which clears on the Forex market. Please read post #5.


Dealing Desk Trading at DeltaStock – trading spot Forex at fixed-spreads:

As a Market maker we DO manage our risk, i.e. net client positions management.

Some other facts you might find useful in terms of broker liquidity risk and safety of client’s funds:
- DeltaStock has been in business since 1998. In 2000 the company started to offer online Forex trading services through its proprietary platform – Delta Trading. We’ve been most active in providing Forex services in Bulgaria and Eastern Europe since then. Traders have been provided with a desktop (Delta Trading), Web (Delta Trading Web) and WAP (Delta Trading WAP) versions of the platform. Here is the Comparison Table on the Delta Trading, Delta Trading Web and Delta Trading WAP.
The company started to offer its services globally less than a year ago and currently traders from over 50 countries worldwide trade with DeltaStock.

So, we are confident we’ve been on the right track so far

DeltaStock has been also offering online trading with stocks and securities listed on the Bulgarian Stock Exchange – Sofia (BSE-Sofia). … again through a proprietary trading platform ! The company has been a member of the BSE-Sofia and Central Depository since 1998.

- Regulated by the BNB and the FSC, DeltaStock has been a subject to strict capital adequacy requirements and reporting to ensure clients’ interests and protection of funds are always observed.

- Investor-compensation scheme under the Security Investors Compensation Fund (SICF) pursuant to DIRECTIVE 97/9/EC of the European Parliament and of the Council. For ease of reference - post #5

Nathan, we will be glad to have you as a client!

Best!
Vladimir

This thread is very quiet, just wondering if anyone's live and happy with them.
Just had a look at the website, and the software seems OK, so going to demo with them.
Comments, anyone??

I will be live with them in about 1-2 weeks. no problems with demo. customer service excellent so far!
I will keep you up to date.

I'll be interested to hear your experiences.

Hi,

Any update on this broker? I am trying their demo now, their chart is abit not user friendly, customizing of indicators was not very easy and the platform will freeze occasionally when i tried switch from chart to the trading platform.

I am resurrecting this thread as I would be interested to hear from anyone who has had any experience with this broker. I see they are one of forex factory's preferred brokers. Those with a live account, please post your views. Thanks.

Is this an ECN broker?

any update