I just knew FBS from a friend and by look of it I think it was okay, until something really unacceptable happend.
I trade for NZDUSD and NZDJPY and place the order before the big news and when it happend suddendly my order price change by itselft and the price gap happended, I got margin call because my SL cancelled by itself.
I can't accept this since ONLY FBS Trade have price gap on NZDUSD and NZDJPY on that day but not other broker. I used FXpro and XM and place the same pending order I put on FBS. I hit my TP and my order was opened where I place it, and NO PRICE GAP.
WHY only FBS have price GAP on NZDUSD and NZDJPY? to be exact on 9/6/2016. 0000hours
We have considered your claim about bespoken pending orders (all NZDUSD and NZDJPY, Buy Stop), consulted with the server data, checked its log-files and come to the following conclusion.
Please, kindly note that 00:00 MetaTrader time on 09.06.2016 was the release time of several highly important news pieces in New Zealand, that had an extremely remarkable impact on the financial market, particularly on all currency pairs with New Zealand Dollar. You can check the information about news releases with the Calendar published on myFXbook: https://www.myfxbook.com/forex-economic-calendar
(the aforementioned news pieces are as follows: https://prntscr.com/cim1nv
The mentioned news pieces have caused very high volatility in the market at 00:00 and further, which resulted in significant spread widening, abrupt price movements, and huge price gaps. You can prove this fact with the chart in MetaTrader 4 for NZDUSD and NZDJPY: https://prntscr.com/cilxj3
Considering your NZDUSD orders, which had Take Profit level set by you, we would like to remind you, that according to the Customer Agreement:
4.5.2. In the cases of price gaps order execution is determined by the following rules: a) If 'Take Profit' level of a pending order is in the price gap during order opening, once the order is opened Take Profit settings will be annulled. In such a case a note is added to the comments: (tp cancelled/gap).
The following comments in MT4 prove this point: https://prntscr.com/cim53t
Unfortunately, the price set by you for these pending orders has got into price gap, therefore they have been opened at the first quote after the price gap, which is 0.70997.
Considering your NZDJPY orders, since these orders has got into price gap too, they also have been opened at the first quote after the price gap, which is 76.015.
We would like to mention, that when current loss of all open orders on a trading account exceeds the allowed limit, a Stop Out event occurs, i.e. your margin level becomes less than 20%. In this case, the server will close your orders automatically one by one with the comment “so:…./…/…”.
Example: so: -36.0%/-5.1/14.2 – the order was closed by stop out (where -36.0% is the margin level at the time of order closure, -5.1 – remaining funds at the time of order closure, 14.2 – margin).
According to the Customer Agreement:
3.6.2. The Company is entitled to mandatory closing of a Client’s open positions without prior notification of the latter one, if Margin level is lower than 20% of the necessary margin for maintaining open positions.
This is exactly how your orders were executed.
This sharp price movement in an unfavourable direction also caused your account balance to reach Stop Out level, that is why, the system closed all your orders automatically one-by-one in order to prevent your account balance from going negative. The following comments in MT4 prove this point:https://prntscr.com/cim5lg
It is worth mentioning that different brokers have different liquidity providers which send slightly different quotes. And price gap situation with one broker doesn’t always mean the same situation with other broker.
Also, we would like to remind you that news trading is one of the most risky strategies on Forex as it bears high risks of losses.
We hope that we have managed to resolve this issue and thank you for your understanding!