FXCM Micro Withdrawls

[T-Bone Trader]

In Livingston's old days - the bucket shops would stop him from trading at their places......

Anyone ever heard of an FX bucket shop closing out a trader's account because he took too much of their shop's money?

Or in that scenario, would the FX shop just make that trader a job offer?

Very curious!

 

[Eric215]

Quote from cabletrader:



The definition of 'small' is relative. The threshold at which they hedge risk is going to depend on their business model and will be influenced by underlying market conditions, volatility, liquidity, and probably a lot of other factors, perhaps even their own company fundamental and technical market analysis. Algorithms assess and adjust on a second-by-second basis I would imagine but no market maker is going to reveal the intricate details of how he makes his money or protects his interests, not even to a corporate client or investor let alone to a private trader. Information on proprietary algos is often only shared on a need to know basis within the company itself let alone freely divulged to the general public, this is why customer facing helpdesk staff are so limited when it comes to understanding how the company they work for actually works. This isn't unique to financial markets, most industries operate in the same secretive way to protect their bottom line (or as is the case lately, to hide losses and non-viability!). Your chat with that dealer has to be taken on face value as his allegiance is to the company who pays his wages, he will only have shown you what he wanted you to see, the last thing a broker wants you to suspect is a potential conflict of interest.
[/B]

Most of the stuff in your post here is pretty obvious and I assumed went with out saying. I understand that we don't know exactly how each dealer determines its hedging, and other strategies. I was just explaining the general mechanics of how it works and the biggest part which started this whole discussion, for me anyway, which is that they quote outside of the inter-bank quotes. Another words, "surrounding" them. As for my taking FXCM at face value, I would take it for just a little more then that. I have talked to this person several times, and I consider him a reliable connection there. I have dealt with enough customer service people to know when someone is just feeding me a line of BS to get me off the phone, and that was not the case here. I have had several back and forth's with this person in the past. And surly, I agree, that he doesn't know the exact computer algos and every little proprietary nuance to every strategy, but I do believe that he understands the general way in which it works so that he can give his clients a correct and fair representation of how their money is being treated. Especially someone like myself who has a larger responsibility then the average FX trader to know what is really going on. Not to mention that he actually had spent time on their trading desk in the past. Overall, I think we are in general agreement. Good trading.

 

[cabletrader]

Quote from Eric215:



they quote outside of the inter-bank quotes. Another words, "surrounding" them.


Overall, I think we are in general agreement.

lol, I'm not sure we are but I'm sure anyone reading can unravel it all if they're really that interested

Expect to be corrected when you post something incorrect, it's nothing personal it's just the way forums work!

 

[Eric215]

Quote from cabletrader:

lol, I'm not sure we are but I'm sure anyone reading can unravel it all if they're really that interested

Expect to be corrected when you post something incorrect, it's nothing personal it's just the way forums work!

Ok, if you think that the dealer's bid and ask is not outside of the inter-bank bid and ask, another words surrounding it, then we are not in agreement. If you want to believe that you are getting at or better bid ask bank rates through an FCM dealer, or "bucket shop" as you like to call them, then I am not going to try and prove to you other wise. When I started my explanation here in this thread I thought this single point would be the least debated by another supposed experienced trader, let alone FX trader. And yes, I have no problem being corrected if I am wrong but I confidently do not believe I am wrong here. Have you ever thought that maybe you just like to debate for no other reason but to say that someone is wrong to start a heated discussion?

 

[cabletrader]

Quote from Eric215:

Ok, if you think that the dealer's bid and ask is not outside of the inter-bank bid and ask, another words surrounding it, then we are not in agreement. If you want to believe that you are getting at or better bid ask bank rates through an FCM dealer, or "bucket shop" as you like to call them, then I am not going to try and prove to you other wise. When I started my explanation here in this thread I thought this single point would be the least debated by another supposed experienced trader, let alone FX trader. And yes, I have no problem being corrected if I am wrong but I confidently do not believe I am wrong here. Have you ever thought that maybe you just like to debate for no other reason but to say that someone is wrong to start a heated discussion?

lol, no I wasn't arguing the point about bucketshops spreads and quotes being different compared to the underlying market it was just the terminology you used made me smile, in fact quite a lot of what you say has a ring of the <6-months-trading novice about it rather than the veteran experienced trader and fund manager you're unsuccessfully trying to come off as!

Hey no problem, you have a great day, we're good

 

[Eric215]

Quote from cabletrader:

lol, no I wasn't arguing the point about bucketshops spreads and quotes being different compared to the underlying market it was just the terminology you used made me smile, in fact quite a lot of what you say has a ring of the <6-months-trading novice about it rather than the veteran experienced trader and fund manager you're unsuccessfully trying to come off as!

Hey no problem, you have a great day, we're good

I am not trying to "come off" as anything. I simply have stated what is true about me and if you don't believe it then there is nothing else I can do. I am also not here to prove myself to you, you are free to think of me however you want. I will however defend myself when you continually question my integrity and state that I am lying in order to "come off" as something. I am also not an English major so my vocabulary may not be up to your standards, but I have intelligently debated with just about everything you've argued, even the ridiculous stuff (i.e. CC acceptance makes a dealer bad, or hedging is only for inexperienced new traders, etc.). I have held back many times potentially insulting rhetoric that I could have used against you, your arguments, and your so called blotter, out of respect. I am not here to create enemies and exchange insults, but to help new traders and possibly learn from others. So believe what ever you want and if enough people tell me that they feel I am full of shit then I will stop posting and ET will lose yet another real live profitable trader due to inexperienced people being childish and loudly ignorant.

 

[cabletrader]

Quote from Eric215:

I am also not an English major so my vocabulary may not be up to your standards

Saying bucketshop spreads are 'surrounding' interbank spreads is odd terminology that I've never heard a professional trader or dealer use and it struck me as a bit novice'ish, it has nothing to do with you not being an English major

Quote from Eric215:


I have intelligently debated with just about everything you've argued, even the ridiculous stuff (i.e. CC acceptance makes a dealer bad

I didn't say it makes them 'bad', I simply explained the motives behind accepting that type of payment method, unfortunately you didn't understand my explanation the first time round so I explained it again in simpler terms but you still didn't understand. I guess that must be because you're not an English major huh?

Quote from Eric215:


or hedging is only for inexperienced new traders

lol, well it's not actually for anyone as it's a waste of time and money, no professional trader hedges exposure like that! You claimed there was a financial benefit to being equally long and short on the same pair at the same time and I simply pointed out that it had no financial benefits and you abandoned the discussion because you were obviously unable to argue with the simple math involved. People who 'hedge' like that are typically novices or the inexperienced because they don't understand the futility of it.

Quote from Eric215:


I have held back many times potentially insulting rhetoric that I could have used against you, your arguments, and your so called blotter

lol, 'so called blotter'? That's what they're called, trading blotters, they're a chronological record of executed trades, like the ones below.


I think you're in your own little world there aren't you, lol, 'surrounding' spreads, I love it! As long as you're having fun that's all that matters, after all this is the internet so you can be whatever you want to be



Anyway, today's trading blotters.....


32 trades, 26 wins +64 pips, 1 loss 1 pip, 5 b/even, total +63 pips which represented a 1.58% return.

 

[Eric215]

Quote from cabletrader:

You claimed there was a financial benefit to being equally long and short on the same pair at the same time and I simply pointed out that it had no financial benefits and you abandoned the discussion because you were obviously unable to argue with the simple math involved. People who 'hedge' like that are typically novices or the inexperienced because they don't understand the futility of it.
]

I never said anything of the sort. If you would have read my post instead of jumping to conclusions and starting an argument you would have noticed what I said. I will re-post my statement on hedging for you here so you can re-read it.

My previous response to your hedging claims:

"I am a little confused why you are bashing those who like hedging to trade multiple strategies on the same pair. Your above quote says you are doing that exact thing except with two different accounts. I feel a little silly asking you this but, you do realize that you suffer the exact same financial drawbacks with two accounts as someone who has all his money in one account? So to clarify you say, "Those people who are hell bent on giving their money to brokers for nothing", and then you are doing the exact same thing? Hedging has the same financial costs whether it is with one account or with two. Actually with one account it allows for a more efficient use of capital. I can move money between strategies, which allows me to allocate the most money to the strategy that is producing the best opportunities in a given moment. Another words, sometimes I am not in a long term trade which allows me to use all my capital for short-term trading until a longer term opportunity presents itself. If I had two accounts the long term money would just be sitting there waiting for a trade, not working for me. So with all due respect, you might want to think through fully what you are stating as truth before you criticize everyone else."

Quote from cabletrader:

lol, 'so called blotter'? That's what they're called, trading blotters, they're a chronological record of executed trades, like the ones below.

I guess I have to explain this to you. Your blotter proves nothing. It shows no balances and no position sizes. This could be a demo account for all I know. Not to mention like I said before, and that any profitable and experienced trader would know, your blotter shows nothing about your overall profitability. Not only does your "blotter" prove nothing about your weekly or monthly profitability, it doesn't even have a daily P/L! I am not going to ask you to post this because I don't give a shit but, again, all this should be common sense to you. The only thing worse then the blotter you post, would be an excel sheet listing your trades. At least yours has the Oanda logo, lol. I will state that I didn't want to get into this but you insist on always putting me down when I have done nothing to you. You either get a big kick out of annoying people or you really are that clueless. For your sake I hope your posts are strictly for your enjoyment.

Quote from cabletrader:


I think you're in your own little world there aren't you, lol, 'surrounding' spreads, I love it! As long as you're having fun that's all that matters, after all this is the internet so you can be whatever you want to be

I don't see anything wrong with saying that a bid and ask spread that is outside of, and surrounding, another bid and ask spread is true. This is an easy visual way of explaining it to people who want to learn. You show your immaturity by constantly bringing it up. I tried to act like a grown up with you and call for level headed debates. It's quite clear by now that you are not capable.

 

[Eric215]

Quote from cabletrader:

[B
I didn't say it makes them 'bad', I simply explained the motives behind accepting that type of payment method, unfortunately you didn't understand my explanation the first time round so I explained it again in simpler terms but you still didn't understand. I guess that must be because you're not an English major huh? [/B]

No, this is not what you were stating. You were trying to argue that a dealer that accepts credit cards for deposits is inferior to one that does not, for that reason, and that reason alone. I simply said that it was just clever marketing to get more deposits and you said I was wrong and that it meant the dealer was shady. If you're going to back track on your statements at least admit it.

 

[forex-forex]

Eric215 ...... Forget about cabletrader, he is the biggest dickhead on ET and will always twist your posts around and send you harassing PM's.