DealCancellation by easyMarkets

I have small account with them
https://record.partners.easymarkets.com/_D0mElSY_ZrRi-DaPcIu1xGNd7ZgqdRLk/1/
but I made already 30% profit.

I jus tested it a bit. I see two main flaws here:

1. You pay the fee in any case (if the trade goes your way or against you)
2. The fee goes quite high if volatility increases.

So to be profitable in that 1 hour the move has to be significant.

leo23 posted:
The logic is very simple.

90% of the traders loose money in the market and hence, they will not send any deal cancellation orders to the inter-bank and hence, almost no risk of loss from their pocket.

In return, they will get huge amount commissions for each and every trade for both profitable and non profitable. So paying few profitable trades from that huge commissions will not be a big deal for them.

How does your logic work Deal cancellation pays you back for your LOSING trade. If 90% of trades are losing trades they will be refunding 90% of trades.

slahov posted:
I jus tested it a bit. I see two main flaws here:

1. You pay the fee in any case (if the trade goes your way or against you)
2. The fee goes quite high if volatility increases.

So to be profitable in that 1 hour the move has to be significant.

So the fee for the refund of your losing trade could be the same or more of the loss you had made at the time of cancellation?

lexy1022 posted:

slahov posted:
So if I understand it correctly, I can open a long and short position at the same time, leverage it up by 100 times and once the fx spot changes by 50 pips I close both positions (within 1 hour ofcourse). With this I gain a 100% guarantee profit, if the cancellation fee is lower than the realized profit of the winning trade.

If this is true, than why is this trading suggested primarily for new fx traders? I mean, this way you can not loose. Where is the catch? Is the insurance fee then higher than the winning trade?

Tnx

You cannot hedge the 'same' currency pair and use this feature at the same time, that is the catch.

It is not a catch. it is to stop you cheating the system. Slahov was straight onto how to cheat it, lol. However, I think it is a scam, never the less.

stian posted:
Hmm, that is very interesting. Might give it a go with 1000$ for the next NFP. Fee doesn't seem to high either and might even work for less impact news.

Did you try it? I would think the fee would end up being more than the loss insured.