FXCM Discussion | Page 459 | Forex Factory

Options

Go to
Permalinks
Print Thread

Related Instruments

EUR/JPY

Similar Threads

FXCM with Sierra Charts - Discussion and alternatives 8 replies

Elliott Waves discussion 4 replies

FXCM gets another CFTC fine, while Drew Niv leaves FXCM UK board 17 replies

Euro/Dollar discussion 9 replies

Forward Testing Discussion Thread 241 replies

Attachments: FXCM Discussion
Exit Attachments

FXCM Discussion

  • #9,161
  • Jun 14, 2016 12:00pm Jun 14, 2016 12:00pm
Quoting Phylo
the above extracts from the FCA register would point to FXCM not being a true NDD.
Hi Phylo,

FXCM offers traders the choice of different account types (Mini, Standard and Active Trader) and provide transparency regarding your execution options.

We provide true No Dealing Desk (NDD) forex execution to all Standard accounts and Active Trader accounts. We also offer Mini accounts which use DD forex execution. In addition, we offer all our clients outside the US with the option to trade contracts for difference (CFDs) on stock indices (S&P, DAX), metals (gold, silver), energy products (oil, gas) and international shares (AAPL, GOOG) using DD execution.

The FCA register points to us having the permissions necessary to offer these varied products and services.
  • #9,162
  • Jun 14, 2016 12:56pm Jun 14, 2016 12:56pm
Quoting Greenstar
Hello Jason. I have always liked Jasons, and I hope I can remain calm in reporting what has happened to me. I have two brokers abroad. I chose to after long research sign on with FXCM US because I wanted to get closer to home. I chose it because of the APPS - specifically the EA Apps - several were of interest. I signed on in April 2016 and my great account manager was aware that the top two reasons for choosing FXCM were the availability of DailyFX Plus, and the EAs. He did not know of the change made recently: no US clients may use any EA free...
Hi Greenstar,

Thanks for sharing your concerns with me. You mentioned receiving contradictory information in different emails. I apologize for this and would like to get clarification for you. Please forward me a copy of those emails to jrogers AT fxcm DOT com, and I will follow up with my colleagues who sent them. Also, you mentioned having interest in several EAs. Please include the names of some or all of them in your email to me if you can.

Thanks,
Jason
  • #9,163
  • Edited 8:06pm Jun 14, 2016 1:34pm | Edited 8:06pm
Quoting Jason Rogers
Quoting Phylo
the above extracts from the FCA register would point to FXCM not being a true NDD.
or is the complete quote/sentence;
Quoting Phylo
According to #Post 9,142 the above extracts from the FCA register would point to FXCM not being a true NDD.

  1. The underhanded practice of abbreviating a quote/sentence to distort its contents is a well known discediting tactic.
  2. The above abbreviated sentence conveys a different originating source from the complete sentence.

Quoting Jason Rogers
... We provide true No Dealing Desk (NDD) forex execution to all Standard accounts and Active Trader accounts.
An on-topic, but unelaborated, answer.
TSLA: 30-Dec-22 123.18 // 16-Jun-23 260.54 **111.51%**
  • #9,164
  • Jun 14, 2016 2:23pm Jun 14, 2016 2:23pm
Quoting Phylo
An on-topic, but unelaborated, answer.
Hi Phylo,

In fairness, your abbreviation of my answer left out the link I provided with details regarding FXCM's trade execution.

You seem to see us as being on opposing sides. That's unfortunate, because the truth is I want to address your concerns.

Is there something in particular you would like me to elaborate further regarding our NDD model?
  • #9,165
  • Jun 14, 2016 2:34pm Jun 14, 2016 2:34pm
Well, I have been trading many brokers, Oanda, Forex, and many offshore brokers too. I also trade on FXCM on and off on the MT4 platform for some years. I recently started trading on the Trading Station and my experience is great for their instant executions. Since my orders are over 1 million per trade, I can see my orders are filled separately, such as 8 lots, 2 lots, 4 lots for one of my order, and the slippage is from 0 to 0.00001 pip.

This instant execution is great for my trading emotion because I get what I see as soon as I click my market orders. I could get frustrated when my orders were not filled or took time to fill for different price when I traded MT4. I think I can trade better with this kind of execution and slippage.

I started trading more this month and just reached 50M trade last night. I chatted FXCM for my discount commission last night and I got it this morning.

I post my experience with FXCM Trading Station (not MT4) because I want them to grow health so I can continue to trade with them.
Every trader needs an emotion risk manager
  • #9,166
  • Jun 14, 2016 3:06pm Jun 14, 2016 3:06pm
Quoting Jason Rogers
{quote} Hi Greenstar, Thanks for sharing your concerns with me. You mentioned receiving contradictory information in different emails. I apologize for this and would like to get clarification for you. Please forward me a copy of those emails to jrogers AT fxcm DOT com, and I will follow up with my colleagues who sent them. Also, you mentioned having interest in several EAs. Please include the names of some or all of them in your email to me if you can. Thanks, Jason
Hello. Please, let your dear colleagues know it is not about conflicting information!! No one has done anything other than great work. My problem has nothing to do with that. That is very important for me to convey; I don't want to hurt my account manager's feelings. My problem is this: why are the APPS which do follow FIFO and are NFA compliant no longer available to US clients. I was told by my account manager that the change happened after I'd initially signed up, so at one time recently, things were compliant, and now suddenly they are not. But the weird part is this: the very same type of EA is PERMITTED by FXCM for US clients, as long as it is from another purveyor (learned how to spell that one yesterday). This means: I can pay someone else to provide me exactly the same thing that I can pay FXCM to provide me, and all is well. My thinking is that FXCM is afraid of something. They are not worried about me using a compliant EA. They would prefer to decline the profits of me paying, rather than allow me to purchase something they will allow me to use from someone else.
  • #9,167
  • Jun 14, 2016 4:28pm Jun 14, 2016 4:28pm
Hello Jason. Here is another puzzle. It is not heaping criticism on a broker I am fine with being mine.

I spent a large amount of time just now dealing with Live Chat because, though yesterday, I could sign in just fine on any app, place it in cart, and THEN receive the Not Available to US Clients (for reasons that seems are not having to do with FIFO, NFA).... the new way of letting clients know is simply giving them

FXCM Account Login Failed. Please try again. If you're not an FXCM client, click the other tab to login with your Apps account.

I was trying for the OCO app - which is also compliant far as I can tell.

I wasted lots of time trying Real, then Demo, etc. etc. - and finally to Live Chat good help. After a while, it became evident that this is the new way of letting clients know.

Instead, a notice needs to be prominently placed on the APPS site that EAs are not available from FXCM to US Clients. ALSO: that use of EAs from outside FXCM that are compliant are welcome for US residents as an option.

The fact that this simple way of handling it is NOT being done, raises questions in my mind. Is it that FXCM has another reason, unrelated to FIFO/NFA?
And simply doesn't want to draw attention to the new rule? Remember, no adjustments that anyone knows about from the NFA in April and May, when the change was made at FXCM, evidently. As I wrote, when I signed on with FXCM - in April - the apps were available to me, and my account manager was happy to see me happy, I am sure. The one I especially wanted to try is the B-Bands Trend Trader. It truly came as a shock yesterday or day before when I tried to do something I have planned for months with great anticipation.
  • #9,168
  • Jun 14, 2016 6:16pm Jun 14, 2016 6:16pm
Quoting Jason Rogers
{quote} Hi Colin, Dion works out of our Sydney office and was out of the office on Monday. I've emailed him regarding your forum post, but due to the time difference between Sydney and New York, I might be able to get a response for you faster if you forward me a copy of the email you sent him. Please email me at jrogers AT fxcm DOT com. {quote} My apologies but Dion was incorrect in saying your trades will stay open as part of your account transfer to Halifax. Please refer back to my forum posts for you which explain: why New Zealand accounts are...
Jason the problem is i had a balance of 7000.00 aud and 2 trades running that had negative balances and a margin that was completly safe and without thought or due care for the client. fxcm closed my trades and sustained a 5000.00 loss on an account that had take profit orders in that were hit after they closed my accounts .i had contacted fxcm with concerns about the process in plenty of time before they took this action and had gained an assurance that those trades were safe and would not be closed because i had taken the action that they required of me .This assurance was in writing and contained connotations that i was an idiot for having concerns in the first place which can be easily read in the email.The reason for airing this with you is because despite repeated attempts by me to contact them i have become a non person and apparently do not exist .And then again without due care or respect for the non person these arseholes reopened the positions with the Halifax account without entering the take profit and left an account with only 2000.00 dollars in it with 2 trades at 6.00 per pip to run for three days without being monitored as Halifax had so many tech problems they couldnt get me into it.Am i starting to sound a little pissed Jason well please forgive and bear with this a little longer and i shall forward full emails received from dion.How long do you think the margin would sustain a trade like that Jason is there anyone in fxcm that is intelligent enough to understand these implications!or does this just confirm that fxcm doesnt give a shit about clients that supported them for years yes years.
  • #9,169
  • Edited Jun 15, 2016 4:08pm Jun 14, 2016 7:43pm | Edited Jun 15, 2016 4:08pm
Quoting Jason Rogers
Hi Phylo, In fairness, your abbreviation of my answer left out the link I provided with details regarding FXCM's trade execution.
Omission by oversight, not intent.

Quoting Phylo
...According to #Post 9,142 the above extracts* from the FCA register would point to FXCM not being a true NDD.
* #Post 1,960

Quoting Jason Rogers
..We provide true No Dealing Desk (NDD) forex execution to all Standard accounts and Active Trader accounts.
1 Execution: FXCM aggregates bid and ask prices from a pool of liquidity providers and is the final counterparty when trading forex on FXCM's dealing desk and No Dealing Desk (NDD) execution models. With NDD, FXCM's platforms display the best-available direct bid and ask prices from the liquidity providers. In some circumstances, FXCM may add a markup to NDD spreads, based on account type. In addition to the spread, the trading cost with NDD is a fixed lot-based commission at the open and close of the trade. With .......... [source: details regarding FXCM's trade execution.]

Some would interpret the above as Hybrid NDD - [source: https://www.cashbackforex.com/en-us/school/tabid/426/ID/437273/two-non-dealing-desk-ndd-broker-types-stp-ecn]

In some circumstances, FXCM may add a markup to NDD spreads ,...

What circumstances ?
TSLA: 30-Dec-22 123.18 // 16-Jun-23 260.54 **111.51%**
  • #9,170
  • Edited 6:07pm Jun 15, 2016 5:48pm | Edited 6:07pm
Quoting Phylo
Some would interpret the above as Hybrid NDD
That would be an incorrect interpretation. The NDD execution FXCM provides to all Standard and Active Trader accounts is pure, not a hybrid. Each client order is offset one-for-one with the best prices from competing liquidity providers. Therefore, we do not profit from client losses or lose from client profits. Instead, we make our money from the commission.

Technically, you could consider the DD execution we provide to Mini accounts as a hybrid since FXCM can act as a dealer determining prices and spreads, but backup liquidity providers fill in when FXCM does not act as the dealer.

Quoting Phylo
In some circumstances, FXCM may add a markup to NDD spreads ,... What circumstances ?
Further down on the same Execution page on our website, it states: "Some accounts, such as Mini Accounts and those for clients of certain intermediaries, are subject to a markup."

Mini Accounts use DD execution and have all-inclusive spreads with no separate commissions which explains why they have a markup. In regard to the "clients of certain intermediaries", I discussed this topic in an earlier post:

Quoting Jason Rogers
FXCM doesn't add any markup to the spreads we receive from liquidity providers on our NDD model. An example where an account might be charged a markup on NDD pricing is if a client set up the account under an introducing broker that added their own markup as compensation for some value-added service such as premium charting or trading signals. An introducing broker wanting to add such a markup to the spread would have to disclose this to their client as part of the account opening documentation, so the client can make an informed decision on whether...

Regarding our NDD model, the key point to understand is that we make our money from the commission, not from client losses or from markups to the spread.
  • #9,171
  • Jun 15, 2016 6:00pm Jun 15, 2016 6:00pm
Quoting Mm8
{quote} Jason the problem is i had a balance of 7000.00 aud and 2 trades running that had negative balances and a margin that was completly safe and without thought or due care for the client. fxcm closed my trades and sustained a 5000.00 loss on an account that had take profit orders in that were hit after they closed my accounts .i had contacted fxcm with concerns about the process in plenty of time before they took this action and had gained an assurance that those trades were safe and would not be closed because i had taken the action that they...
Hi Colin,

My understanding is you spoke with my colleagues in Sydney about these trades and they tried to explain to you it is not your balance but your equity that reflects how much money you have and therefore how much margin you have available for your open positions. I can appreciate the difference between balance and equity can be confusing, since in most situations those words are used interchangeably.

On your Trading Station platform, your balance is a look into the past. It shows how much money was in your account before taking into account the profits and losses from your open positions. Your equity reflects the present value of your account. It shows how much money is in your account by taking into account the profits and losses from your open positions.

Since you were floating losses on your open positions, your equity was lower than your balance. When your account was transferred from FXCM to Halifax, your trades had to be closed and reopened. This caused your balance to update and come in line with your equity. This did not cause money to disappear from your account, since your equity remained the same.

I tried to touch on this point with an example in my earlier post for you, but it might be more clear if one of my colleagues walks you through it over the phone with specific trades from your account. If you would like to discuss this further with our Sydney office, please let me know and I'll arrange a follow up for you.
  • #9,172
  • Jun 15, 2016 6:32pm Jun 15, 2016 6:32pm
Quoting Jason Rogers
{quote} Hi Colin, My understanding is you spoke with my colleagues in Sydney about these trades and they tried to explain to you it is not your balance but your equity that reflects how much money you have and therefore how much margin you have available for your open positions. I can appreciate the difference between balance and equity can be confusing, since in most situations those words are used interchangeably. On your Trading Station platform, your balance is a look into the past. It shows how much money was in your account before taking into...
Once again jason being addressed as an idiot is something i find very offensive and the use of smoke and mirrors is becoming annoying to me in the beginning i addressed you with the respect i thought you deserved but you are now starting to show your true colours ,I do suppose that you do understand how these trading accounts work and the true use of a margin and the fact that trades that are open do not affect the balance until the take profit ,stoploss or margin are triggered and the actual equity figure reflects that WOW. Thats not what this is all about this is all about your representitives who refuse to contact me, this is about people who refuse to apoligise this about fxcm taking action outside of trading practisces that negatively affect the client ,i did you the decency of giving dions full name in the earlier email with full knowledge that that would tell you exactly who i am i was hopeing you would treat me with respect and take ownership of whats happened and address it appropriatly sadly this doesnt seem to be the case.
  • #9,173
  • Edited Jun 16, 2016 4:24pm Jun 15, 2016 7:49pm | Edited Jun 16, 2016 4:24pm
Quoting Jason Rogers
That would be an incorrect interpretation. The NDD execution FXCM provides to all Standard and Active Trader accounts is pure, not a hybrid. Each client order is offset one-for-one with the best prices from competing liquidity providers. Therefore, we do not profit from client losses or lose from client profits. Instead, we make our money from the commission.

Technically, you could consider the DD execution we provide to Mini accounts as a hybrid since FXCM can act as a dealer determining prices and spreads,...

Further down on the same Execution page on our website, it states: "Some accounts, such as Mini Accounts and those for clients of certain intermediaries, are subject to a markup."
Quoting Jason Rogers
FXCM doesn't add any markup to the spreads we receive from liquidity providers on our NDD model. An example where an account might be charged a markup on NDD pricing is if a client set up the account under an introducing broker that added their own markup as compensation for some value-added service such as premium charting or trading signals. An introducing broker wanting to add such a markup to the spread would have to disclose this to their client as part of the account opening documentation, so the client can make an informed decision on whether...
....
Quoting Jason Rogers
Regarding our NDD model, the key point to understand is that we make our money from the commission, not from client losses or from markups to the spread.
A clear and informative answer.

The documentation containing - [In some circumstances, FXCM may add a markup to NDD spreads, based on account type. ... Some accounts, such as Mini Accounts and those for clients of certain intermediaries, are subject to a markup.] - does not distinguish the above answer in any form of clarify.

FXCM may add a markup to NDD spreads, - communicates (comes across) as FXCM taking ownership and source of the NDD spread markup which is different to FXCM acting as a non profiting principle of the NDD spread markup on behalf of an intermediary. In some circumstances - is suggestive of multiple NDD related circumstances* when in fact - clients of certain intermediaries - although expressed in the plural is more representative of a singular class and only source of NDD related spread markup circumstance. Hence, as far as NDD is concerned, according to above quoted answer clarification there are no other spread markup circumstances to query.

* perhaps residing in some hard to find small print as was additional clauses relating to Negative Balance Protection discovered during the SNB crisis.

No futher answers are requested as all appears clarified.

The below substantiates above quoted answers.

NO DEALING DESK EXECUTION MODEL
FXCM provides forex execution through a straight through processing, or No Dealing Desk forex execution model. In this model FXCM passes on to its clients the best prices that are provided by one of FXCM's liquidity providers with a fixed mark-up for each currency pair. In this model, FXCM does not act as a market marker in any currency pairs. As such, FXCM is reliant on these external providers for currency pricing. Although this model promotes efficiency and competition for market pricing, there are certain limitations to liquidity that can affect the final execution of your order. [source: https://www.fxcm.com/uk/legal/trading-execution-risks]
TSLA: 30-Dec-22 123.18 // 16-Jun-23 260.54 **111.51%**
  • #9,174
  • Jun 16, 2016 5:49pm Jun 16, 2016 5:49pm
Quoting Mm8
{quote} Once again jason being addressed as an idiot is something i find very offensive and the use of smoke and mirrors is becoming annoying to me in the beginning i addressed you with the respect i thought you deserved but you are now starting to show your true colours ,I do suppose that you do understand how these trading accounts work and the true use of a margin and the fact that trades that are open do not affect the balance until the take profit ,stoploss or margin are triggered and the actual equity figure reflects that WOW. Thats not what...
Hi Colin,

I meant you no disrespect. If that's how it came across, I apologize. To avoid possible miscommunication, I've asked my colleagues in Sydney to follow up with you over the phone, since their time zone is closer to yours. They are also more familiar with the particular details of your account to better address your concerns.
  • #9,175
  • Jun 16, 2016 5:54pm Jun 16, 2016 5:54pm
Quoting Phylo
{quote} {quote} {quote} A clear and informative answer.
Thanks Phylo

I've shared your feedback with our Compliance department to see if we can make the language on our website more clear regarding NDD execution.
  • #9,176
  • Jun 16, 2016 6:35pm Jun 16, 2016 6:35pm
Quoting Jason Rogers
{quote} Hi Colin, I meant you no disrespect. If that's how it came across, I apologize. To avoid possible miscommunication, I've asked my colleagues in Sydney to follow up with you over the phone, since their time zone is closer to yours. They are also more familiar with the particular details of your account to better address your concerns.
Thankyou Jason i have since spoken to the staff in aus and they did see fit to mention that id taken this to a live forum something that could have been avoided if they had taken this action before, instead of just ignoring me completly perhaps customer relations training wouldnt go amiss ,but i still have the same problem and that is will fxcm do this to me and other clients again ,do they still have the ability to wake up one morning and stretch and yawn and then just close everyones trades just because they can or is there something there that can protect the client from this.And i apologies in advance if you feel this is a cheap shot but i do still feel vunerable to this.
  • #9,177
  • Jun 16, 2016 11:55pm Jun 16, 2016 11:55pm
Quoting Jason Rogers
{quote} Thanks Phylo I've shared your feedback with our Compliance department to see if we can make the language on our website more clear regarding NDD execution.
Hey Jason, I have question if you don't mind answering.

How come FXCM's FIFO rules do not function like Oanda's where the FIFO only applies if the trades on the same currency pair and for the same amount of units?

Do the brokers get to choose how the operate the FIFO rule?
  • #9,178
  • Jun 17, 2016 2:37am Jun 17, 2016 2:37am
I have a question, is FXCM sponsoring any famous team or player in the world? I notice many big brokers have their name in Premier League or F1 Race or Grandslam? Does we have?
  • #9,179
  • Jun 19, 2016 12:47pm Jun 19, 2016 12:47pm
With so much whining and vitriol towards FXCM, I want to give them some kudos for fixing an issue I had.

I was one of the accounts that came from IBFX. I was required to resubmit documentation. Due to circumstances beyond my control (had an accident which required multiple surgeries and a couple months of being laid up) I was unable to do this until just recently. This resulted in my account being locked. After all documentation was submitted, I was given a new account, but still had money in the locked account.

I contacted FXCM by chat then email and Brandon Diaz made sure that money was transferred to the new account. Yes it took a few days, but the results were what one would expect from a legitimate company. Thanks!!
Mark ... Everything you have been told is a LIE
  • #9,180
  • Jun 19, 2016 5:54pm Jun 19, 2016 5:54pm
Dear Jason

I'm kind of crashing the party a little here, but please could you elaborate on how FXCM is going to protect itself
this time round with the upcoming European Referendum (aka Brexit). I notice that the FXCM website is
kind of promoting the event as a 'trading opportunity' rather than taking the cautionary road that many
European brokers are taking with their clients.

For what it's worth I have had an excellent experience with FXCM so far making hundreds a week without
any issues. I have put in for a substantial withdrawal this week and was warned that it may take up to
5 days to process. I don't know if I should take this as a warning sign viz a vie the upcoming event.

I am surprised that their is so little published on this matter, given the size of FXCM. I am thinking of
the safety of my funds in a nutshell.
16 traders viewing now