My broker closed my account for "too much profit made"

Pretty much proof that Forex.com LIES about only providing 3% of their clients liquidity themselves.
They say the other 97% is matched with other clients or sent interbank.


Why would any forex broker close an account, unless they were providing liquidity for a winning trader?

Is there some regulatory deal with the US gov going on? If traders make over 500% of net deposits in less than 6 months, they will have their account closed?

I'm seriously stumped.


Glad I have brokers overseas, these US brokers are a freaking joke.

Make regular withdrawals!!

I have never had problems with withdraw at forex.com

But that still won't stop them from closing your account if you are too profitable




From = http://forexdarkside.com/why-forex-p...y-virtual-long



If you make profits trading Forex, make withdrawals.
Don’t allow your account get too heavy.
Some traders avoid withdrawing profits for too long. On one hand, there is an obvious benefit of that: as account balance grows they are able to trade larger funds and invest more on each trade and thus make higher profits. On the other hand, there is a hidden danger of such tactics, which I’m going to talk about now. Oh, yes, I’ll be telling you scary stories today so that you’ll hardly sleep at night worrying about your Forex investments. Mvooohha… haha..
The scary story is called “Why overgrown Forex accounts could be on a shaky ground?”
I see this topic as a message of precaution, and will never guarantee that the situation I’m about to tell here is going to happen to you. Don’t even ask for it…
Those who are 100% sure they are trading with a reputable and reliable Forex broker, may stop reading here and sleep well at night. Others, welcome to reality!
Let’s take you, a cool trader with a mega Forex strategy, and mega trading skills; describing it in regular words: you know how to make profits quick and make account grow big.
You put $1000 into a Forex account and 6 months later your account confidently grows into a staggering $500 000. Wow! You claim them back by filling out a withdrawal request. Right.
But wait… You put $1000 in and want to take back 500 times more after just 6 months!? That’s insane! Do you think your broker is going to agree and pay you those money? Are you sure?
I hope they pay, but what may happen, and what has already happened to Forex traders before you – they never saw their money… What happened?
Unfair brokers in such extreme cases such as your fast made $500000, would rather MAKE YOU LOSE this money in one or another way than pay you. How? Oh, my friend, there are many ways to dump traders, since, remember: “Forex is a high risk investment. There are many factors involved when a broker won’t guarantee to traders prices quoted… or how about a failure of hardware, software and Internet connection, other communication failure, distortions or delays arising from trading Forex via Internet… etc”. Just read carefully an agreement you signed with your Forex broker to realize that almost no guarantees were given…
With such power in their hands, brokers can easily “fix the problem” and make your money disappear. It can be done by placing trading orders from your name against the market while you are away or closing some running and currently losing trades for you , or by creating other stories, myths according to which the money you earned earlier were not actually right and happen as a result of some system mistake that had been giving you wrong price quotes, etc etc. Brokers who are not willing to pay may tell many different stories at their choice (really, don’t doubt their creativity) just to make sure you won’t get the earnings you claim.
Most popular accusation nowadays is that you’re, in one or another way, convicted in scalping and taking advantage of broker prices, and therefore, you have to pay a penalty, which will be equal to the amount a broker never wants to pay you.
So, why keep your account growing without control. A simple measure of taking planned withdrawals can save you from troubles.
It’s not going to be the case for traders who trade with reputable Forex brokers. The brokers which are registered with appropriate local authorities and, even better, those that have a well-known trademark name in the financial world and run additional businesses beside Forex. A good example are banks – they will never put their name and entire business in danger by playing dirty games with their Forex clients.
Compare it now with companies, who run only Forex businesses and are not registered with any local authorities that would control their Forex related activities. Traders suddenly have no protection of their investments in case of a dispute. Even if such brokers seize to exist due to bad reputation gained with unfair practices, they lose nothing besides their old company names and some clients (while still taking your money wit them ). For such brokers restarting an old scam business under a new name is a simple task, for their clients it is a loss of time and money.
I hope you got the message and won’t shock your broker one day with the amount requested for withdrawal…

this is insane, why would they do it, this is absolutely crap from them.

I opened with them as well, and closed after 2 test trades.

I suspected something like that lurking out there for me. they make no sense.

THis is a real scam!

Strong.

seriously thinking to trade fx futures than spot ..

I am not sure of this withdrawal from accounts if there are more profits made.
Anyway I've seen somewhere about this, some other Fx broker also had done this.
Why all these companies do this kind of unfair practices?
Another thing is The company you specified Mr. Rag2Riches has one of the regulation of US (CFTC/NFA).
So you better approach them in one way or the other and get it resolved. Thanks for making us know this problem with Forex.com.

I use pepperstone which is based in Australia and regulated by ASIC im going to make withdrawals as i go ive had no problems so far

there are a lot of reports that forex.com close down successful account.

I have read similar reviews even else where..

I also rember that this broker was one of the few to report a profit in the CHF peg crisis..


I think they pretty much bet against their clients

Close your account is fine, there are many brokers there. Do they allow to withdraw your profit? This is the key question.

Only providing 3% of liquidity by themselves? I'd think good before trading with brokers who provide any liquidity themsleves, that is the source of conflict of interests. You thus provide liquidity for a winner broker, but not trader

Whatever thing happen is find because you money is secured. My trick is that if you account is large (more than $10 000), you should avoid too withdraw large amount of money ( more than 20% each month). However, you can trade with you broker with special account with large activity and money, otherwise you should trade with some realize broker but quite terrible platform, for example, interactive broker or directly contact first tier bank.

Its called a bucketshop. Read terms and service. They can close your account time they like for no reason. You the one agreeing to it. Who is worse here?

B-Book broker.

You win they lose ..

They want losers not winners.

Count yourself a winner and move to a broker that doesn't care if you win or lose and charges a commission for the trade execution .

Well everyone is a loser on a big enough time scale.

This maybe true but depends on how deep are your pockets in that shorter timescale.

However the OP shouldnt commiserate about having his account curtailed after all he is in the 5% of winners

I thought it was pretty well known that forex.com are a bunch of scammers?

Which broker is better then?

Out of curiosity.. Did Forex close your account and give you your $500K then?