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May 19, 2014, 02:18:51 PM |
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Before Bitcoin forex brokers were the scammer of their time.
They still are.
Here's a run down of why they all might be scammers, sharing my experiences.
1) FXCM. They don't cover Bitcoin but it's worth sharing to show how common this is.
Not necessarily too bad if you trade with them on the daily timeframe. However, I found:
- price movements during recess time
- trailing stop moved the wrong side of price (so it never triggers)
- buy and sell limits not engaged (yes, far side of both buy/sell line of the spread)
- TP not triggering.
- MT4 platform in particular wouldn't put the trade through with a particularly good opportunity comes along... various "errors"...
2) Avatrade.
I had a short on Manchester United and Bitcoin. Had a margin call due to the price of MANU spiking to 74 from 17. The data feed has never shown that price. Avoid.
I expect xCFD to scam in some form. Any broker that can't produce the trade ticket - expect them to scam you - and that is every broker as far as I know.
There is a plugin for MT4 and other platforms designed to help them widen spread to stop you out. Search for ECN Jesus as this info has been censored.
Other tactic include massive leverage such as 500:1 which will cause you more swap bills and also, well... the professionals don't use leverage.
Many firms have been slapped with fines but continue to steal people's money. Beware.
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