The CHF tsunami - 15 January 2015 | Page 3 | Forex Factory

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The CHF tsunami - 15 January 2015

  • #41
  • Jan 15, 2015 10:44am Jan 15, 2015 10:44am
I'm not seeing 4000. I think I'm seeing a little over a 1000 unless Tradestation has it wrong.

Quoting Wheathermakr
{quote} If 30 Pips equal 1%, and the pair drop 4000 pips that equates too 133%.. = account bust.
SPC * Swollen PocketZ Crew!
  • #42
  • Jan 15, 2015 10:47am Jan 15, 2015 10:47am
i had a buy order in on the chfs/spd and a tp 20 pips above it . it got activated about 200 pips above my buy stop my / tp bounced down and up any somehow drained my account of 14000.

Question : is there any limit to activating a orders. Should my order have been void?
  • #43
  • Jan 15, 2015 10:51am Jan 15, 2015 10:51am
one of my frined kept SL but it didnot triggered ....account wiped out .....broker pay any compensation ??
  • #44
  • Jan 15, 2015 11:05am Jan 15, 2015 11:05am
Quoting FxSpartan
{quote} It is obvious that you have no idea what you are talking about. It is clearly stated that one can lose more than their initial deposit in Fx if the spread widens beyond the SL. This is what happened today. Fx is an auction market. The price one is able to trade is the one where there is a bid or offer AND nowhere else. This explains why we accept slippage. Do you know the difference between a Dealer and a Broker? YOU need to action to protect your account as much as possible but being fully cognisant of all risks.
My point is that the broker should be the buyer/seller when there isn't one available for a stop loss. They should be taking that risk as minimum.
  • #45
  • Jan 15, 2015 11:08am Jan 15, 2015 11:08am
Quoting PipMaxzz
You could have saved yourself with 'guaranteed stop' in which case the broker guarantees your exit for a slightly bigger spread. I am wondering if anyone here turned to a millionnaire in this gambling? Lucky, I did not have any positions with CHF
According to my broker 2min it went 1,300pips (GBPCHF) so it more than enough to make someone accidentaly a millionaire !
The ones who lost write on FF, the ones who won.. will probably not touch the FF forums for a long time
Probably the worlds best currency trader.
  • #46
  • Jan 15, 2015 11:09am Jan 15, 2015 11:09am
Quoting JoeNY
I'm not seeing 4000. I think I'm seeing a little over a 1000 unless Tradestation has it wrong. {quote}
oh damn, im sorry.. i was talking about GBP/CHF
Probably the worlds best currency trader.
  • #47
  • Jan 15, 2015 11:44am Jan 15, 2015 11:44am
Industry point of view in this mess ...
http://forexmagnates.com/swiss-black...rency-markets/

quote;
"UK listed brokerage IG Group Holdings plc (LON:IGG) has announced in the aftermath of the SNB announcement that it is facing losses up to £30 million"

"Risk policies and leverage offerings, especially by prime of prime brokers are likely to be put into major reviews"

..
I see it all in between ...
  • #48
  • Jan 15, 2015 12:11pm Jan 15, 2015 12:11pm
Unfortunately in many cases a stop wouldn't have worked either. And again, unfortunately, this is just one of those things that happens. Even us keeping up with the fundamentals didn't expect this...

It's like a business, if you rely on one place of business and there's an earthquake right on your plot, your business will probably be gone, nothing you can do about it, it's just one of those VERY unfortunate things...
  • #49
  • Jan 15, 2015 12:21pm Jan 15, 2015 12:21pm
For us retail types, Forex is gambling by another name. Only difference is that we can't see the deck of cards as they're dealt.
  • #50
  • Jan 15, 2015 12:44pm Jan 15, 2015 12:44pm
I am curious to know if any of the trades occurred at -50% or more (sometimes more than -90%!!!!) will be invalidated.

Please share your story if today you had trades affected by this event triggered by the SNB.
  • #51
  • Jan 15, 2015 12:46pm Jan 15, 2015 12:46pm
Quoting Jysticim
Really..... I had a Buy on GBPCHF and a Sell on GBPCHF allready open etc with 50 pips space between them. Both positions closed with -4000 pips wtf.......margin call plus my account ballance is -142k$.
That's truly horrific, sorry to hear that mate
  • #52
  • Jan 15, 2015 12:47pm Jan 15, 2015 12:47pm
NZD/CHF

charts from:

Interactive Brokers
IC Markets
Attached Image(s) (click to enlarge)
Click to Enlarge Name: NZDCHF.jpg Size: 110 KB
Click to Enlarge Name: NZDCHF IC.jpg Size: 160 KB
  • #53
  • Jan 15, 2015 12:49pm Jan 15, 2015 12:49pm
EUR/CHF

charts from:

IC Markets
Interactive Brokers
GoMarkets
Attached Image (click to enlarge)
Click to Enlarge Name: EURCHF IC.jpg Size: 190 KB
Attached Images
  • #54
  • Jan 15, 2015 12:53pm Jan 15, 2015 12:53pm
USD/CHF

On GoMarkets it went as low as 0.30 which was about -70% from previous day.
Attached Image
  • #55
  • Jan 15, 2015 12:55pm Jan 15, 2015 12:55pm
AUD/CHF

Again GoMarkets, AUD/CHF as low as 0.14 then back above 0.70
Attached Image (click to enlarge)
Click to Enlarge Name: AUDCHF.jpg Size: 175 KB
  • #56
  • Jan 15, 2015 1:23pm Jan 15, 2015 1:23pm
Quoting Jysticim
Really..... I had a Buy on GBPCHF and a Sell on GBPCHF allready open etc with 50 pips space between them. Both positions closed with -4000 pips wtf.......margin call plus my account ballance is -142k$.
Sory to hear that.
I hope You will get it back soon
  • #57
  • Jan 15, 2015 1:39pm Jan 15, 2015 1:39pm
According to a regulatory filing, the IG Group (LON:IGG) is facing up to £30 million in losses after this morning, the Swiss National Bank having caused excessive volatility on the foreign exchange market.

“The precise level of the impact will be partially dependent on the Company’s ability to recover client debts, but in total it will not exceed, from market and credit exposure,” the company said in a statement.

The extraordinary market exposure occurred for the UK listed company because its clients’ orders were executed at more beneficial levels than the IG Group was able to get from its liquidity providers during the time of extreme market volatility.

The company will be presenting its results for the first six months of fiscal 2015 on the 20th of January, 2015, when it expects to provide additional details about the impact of the SNB action on the company’s business.

Tip of the Iceberg?

Conventional wisdom has been that market maker brokers made out like bandits following the plunge in the EUR/CHF, as retail customer sentiment tools showed some firm’s clients at a 90/10 long to short ratio. Nonetheless, the immediate aftermath of the Swiss franc move has shown that nearly every broker is headed for a longer term mess regardless of whether they operate as a market maker or agency desk.

Feedback from brokers relates that a reconciliation nightmare seems to be in the works. As related by IG, brokers who executed trades for clients based on pricing of trades with their counterparties have encountered hedged trades being cancelled or repriced by their liquidity providers. Earlier today, Saxo Bank announced to its clients that executions of trades aren’t final and may be changed following confirmation of pricing with their liquidity providers.

In effect, what has appeared to have taken place is a massive ‘requote’ in the market. Mostly known for taking place between retail brokers and their customers, the table has been turned with brokers receiving word from banks that some of their trades with them have been cancelled. A letter to clients from one of the largest primary bank reviewed by Forex Magnates, stated that “significant issues” took place during the price drop and actual executions may not match that which was reported by their electronic systems. The result is that brokers who had filled customers, may still be on the hook for those trades with their counterparties after seeing trades with banks repriced due to initial rates ‘being out of the market’.

Due to the high percentage of clients being short the Swiss franc ahead of its rapid ascent, even among brokers who focus on market-making, many of them had hedged portions of their customer positions ahead of today’s move. As such, these CHF short positions are deep in the red for many brokers, and as seen by IG, may not be fully mitigated by profits due to customer losses

- See more at: http://forexmagnates.com/breaking-ig....0C5W2vON.dpuf
  • #58
  • Jan 15, 2015 2:00pm Jan 15, 2015 2:00pm
This is from MB Trading:

 

  1. You can lose more funds than you deposit in the margin account. A decline in the value of securities that are purchased on margin may require you to provide additional funds to the firm that has made the loan to avoid the forced sale of those securities or other securities in your account.

So they will chase you until you give them all your belongings... you are screwed.

  • #59
  • Jan 15, 2015 2:02pm Jan 15, 2015 2:02pm
Quoting messiah01
{quote} That's truly horrific, sorry to hear that mate

  1. You can lose more funds than you deposit in the margin account. A decline in the value of securities that are purchased on margin may require you to provide additional funds to the firm that has made the loan to avoid the forced sale of those securities or other securities in your account.

So they will chase you untill you give them all your belongings??? -_-

  • #60
  • Jan 15, 2015 2:22pm Jan 15, 2015 2:22pm
Quoting Thx
http://forexmagnates.com/swiss-black...rency-markets/
Good article. With the proliferation of agency type agreements on the sell side of the market, unwinding the financial implications of this event will be interesting.
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