Has anybody experienced stops being hit more frequently? | Page 3 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Broker that has fixed buy-stops/sell-stops, min/no slippage? 5 replies

Update mt4 charts less frequently? 2 replies

Publish chart screenshot frequently via ftp 2 replies

Why are retail traders frequently trapped by the markets? 12 replies

Does anybody have a candle straddle EA with step/trailing stops? 2 replies

Attachments: Has anybody experienced stops being hit more frequently?
Exit Attachments

Has anybody experienced stops being hit more frequently?

  • #41
  • Oct 16, 2010 8:16am Oct 16, 2010 8:16am
Paranoid or not, here's an example of the little tricks brokers can/do use against their clients as per an NFA case against Gain Capital/Forex.com filed in June of this year.

http://www.nfa.futures.org/basicnet/...px?seqnum=2461
  • #42
  • Oct 16, 2010 8:37am Oct 16, 2010 8:37am
Quoting TradeRunner
Paranoid or not, here's an example of the little tricks brokers can/do use against their clients as per an NFA case against Gain Capital/Forex.com filed in June of this year.
Hmmmm, interesting. Now that is sick. Never traded with them and never will after reading that. Have heard of the Virtual Dealer plug-in although I wasn't aware that Gain Capital/Forex.com had a bad reputation.

I generally don't use stops. Position sizes are small enough not to worry about it but I have had my T/P slipped in my favour a few times with Oanda and that's never happened with any other broker I've traded with.

I'm still interested to hear what kind of money (just ballpark figure) people made before they started noticing their stops getting hit more frequently though. Anyone??? Anyone in the 5% out there??? Hello???
Nothing worth having is easy.
  • #43
  • Oct 16, 2010 5:15pm Oct 16, 2010 5:15pm
  •  Czech
  • | Joined Feb 2010 | Status: You Don't Know What You Don't Know | 111 Posts
Quoting TradeRunner
There are two good places to be.
#1 is small enough that your broker doesn't care.
#2 is large enough that your broker has difficulty trading against you.

In between, just be more careful.

for #2: How does your broker have trouble trading against you? If you want to buy 100 units your broker has to sell you those units. In a bucket-shop your broker is trading against you by default.

If your broker is passing your orders into the real market then it doesn't matter where your position goes or how large it is because they already made their spread.
  • #44
  • Oct 16, 2010 5:46pm Oct 16, 2010 5:46pm
Quoting TradeRunner
Paranoid or not, here's an example of the little tricks brokers can/do use against their clients as per an NFA case against Gain Capital/Forex.com filed in June of this year.

http://www.nfa.futures.org/basicnet/...px?seqnum=2461
Yikes! I wonder if this is the first case of a dealer getting smacked upside the head for gaming the system with Boston's VD plug-in?

Anyone still doing business with Gain after reading that case is just asking for trouble. That is one (alleged ) criminal organization.
  • #45
  • Oct 16, 2010 5:52pm Oct 16, 2010 5:52pm
Quoting Czech
for #2: How does your broker have trouble trading against you? If you want to buy 100 units your broker has to sell you those units. In a bucket-shop your broker is trading against you by default.
True, to a point. However, not every broker is a "bucket-shop" and while the (bucket-shop) broker may not have "trouble" trading against the client it's a fairly common perception that traders are lumped into two categories by a (bs) broker. You don't get to choose which category your're in. You take from there what that might mean.
  • #46
  • Oct 17, 2010 1:15am Oct 17, 2010 1:15am
This is very usefull thread which I think needs sharing of experiece of every member as I have also noticed that whenever there is handsome profit in the account ,it erodes so fastely that I can not even understand what is happening and every technique seems going against me.
  • #47
  • Oct 18, 2010 8:57pm Oct 18, 2010 8:57pm
Hey, didn't realize this thread was still going on. Anyway, thought I would share my experience altering my strategy a bit with others. I had originally mentioned that my stops were getting hit more frequently while scalping or holding trades for shorter periods of time while using tight stops. I'm using mental stops now (still have an emergency stop in place 15-20 pips away from mental stop just in case internet goes out or platform shuts down). I'm basically trading the same way I was and if price appears to breach my levels then I get out of the trade. Things feel like they are back to normal now. Not sure if broker was playing games or if increased volatility in the market was the cause of my problem but whatever it may be, this seems to have solved it at least for now. Thanks again for all the helpful advice.
  • #48
  • Oct 20, 2010 2:21pm Oct 20, 2010 2:21pm
GBPUSD trading last night gave me reason to question this practice.

 

  1. Is moving the StopLoss to breakeven a good trading decision or not ?
  2. Does this practice improve profitability ?
  3. If this is not a useful practice, then why do I do it ?

Attached Image (click to enlarge)
Click to Enlarge Name: movestopbe-gbpusd-m15-20101020.gif Size: 11 KB
  • #49
  • Oct 21, 2010 3:26am Oct 21, 2010 3:26am
Quoting robdee
GBPUSD trading last night gave me reason to question this practice.

 

  1. Is moving the StopLoss to breakeven a good trading decision or not ?
  2. Does this practice improve profitability ?
  3. If this is not a useful practice, then why do I do it ?

Attachment

Hi all,

That depends on your trading plan. If you are a scalper, you just do not have time to move the SL at all.

One of the maximum rules is: not to let a winning trade become a loser one. Then, from this point, and imho, it is essential to move it. When? it depends on your strategy and your trading plan.

If you find that BE is hit too often, then maybe your moving it too early. Make the following exercise: what would have happened if you had not moved it? Would the first SL have been hit thus having a loose? If this is the case you should review the whole strategy.

In the figure you post you are entering in a consolidation phase. No trend. Just lotery (unless there is some good rationale behind, i.e. your strategy). The first one is a loose, the second one is a BE, but could have been a loose as well. Imho, the entry point is not correct.

But, again, this is imho.

Hope this helps.

Best Regards and Happy Pips

gonso
  • #50
  • Last Post: Oct 21, 2010 12:26pm Oct 21, 2010 12:26pm
Quoting gonso
One of the maximum rules is: not to let a winning trade become a loser one. Then, from this point, and imho, it is essential to move it. When? it depends on your strategy and your trading plan.
Gonso, many thanks for your well thought out reply.

Another high priority goal is protect trading capital, which is another reason that moving the stop to BE is considered essential.

The other option I have tried is closing one third of the trade on a quick small target (eg +40). The profit banked on that third now matches the remaining risk on the other two thirds. If price now takes out the stop I have the profit and the loss cancelling out each other for a net of zero loss/gain. The advantage I see is that I can leave the stop where I originally placed it. This gives the trade more room to breath.

Example:

 

  1. 0.15 lots SL -20, risk = $-30
  2. close 0.05 lots at +40, profit banked = $20
  3. remaining 0.10 lots SL -20, risk = $-20

So, in theory, we can achieve zero risk without moving the stop to BE.

0 traders viewing now