Help needed!

[lw27]

I don't know why this happen to me: I ordered to buy 7000 shares of a stock priced at 6.10 ($24000 cash plus almost full margin), but cancelled the order in a few minutes. After confirming the status of that order is "cancelled", I made another order of buying 8000 shares of the same stock priced at 5.90. This order was filled quickly. The price of that stock kept dropping after I bought it to 5.30 or lower. I thought I have 8000 shares in hand and maybe I can still take the loss . But the next day when my account was updated, it showed that I had 15000 shares and had a margin call around $20000!!
I called my broker and they said it's Nasdaq's problem, as sometimes when canceling the trade, the order may already been filled, but the status may remain the same until the next day etc, and there is nothing they can do about it.
Does anyone know whether their explanation is right and I have to take more than double the loss? If they are wrong, is there anything I can do about this?
Your help will be much appreciated.

 

[Bob111]

Quote from lw27:

I called my broker and they said it's Nasdaq's problem, as sometimes when canceling the trade, the order may already been filled, but the status may remain the same until the next day etc, and there is nothing they can do about it.:

good broker....if it nasdaq problem, as you stated here, why it become your problem? write a complain to broker, then go to NASD.
---------------but the status may remain the same until the next day etc, and there is nothing they can do about it-----------
this part sounds really funny..
call them--
https://www.nasdr.com/secure/complaints/ComplaintCenter.asp

 

[lw27]

Thanks a lot Bob111, I am going to file a complaint with the broker(TD Waterhouse in Canada ), and I will never do business with them again.

 

[Free Thinker]

Quote from lw27:

I don't know why this happen to me: I ordered to buy 7000 shares of a stock priced at 6.10 ($24000 cash plus almost full margin), but cancelled the order in a few minutes. After confirming the status of that order is "cancelled", I made another order of buying 8000 shares of the same stock priced at 5.90. This order was filled quickly. The price of that stock kept dropping after I bought it to 5.30 or lower. I thought I have 8000 shares in hand and maybe I can still take the loss . But the next day when my account was updated, it showed that I had 15000 shares and had a margin call around $20000!!
I called my broker and they said it's Nasdaq's problem, as sometimes when canceling the trade, the order may already been filled, but the status may remain the same until the next day etc, and there is nothing they can do about it.
Does anyone know whether their explanation is right and I have to take more than double the loss? If they are wrong, is there anything I can do about this?
Your help will be much appreciated.

its not usually a good idea to go full margin long a tanking stock. i doubt if there is much you could do. you could request an audit trail to see where you were filled and when. you might ask for a manager and tell then you were told the first order was canceled. all broker phone calls are taped so they can find the proof.

 

[brokerboy]

your screwed i think. you can write to nasd but lets be real its not going to be fixed overnight takes months. i don't think it will help anyway either. what you should do next time is update the other not cancel and put another in. sorry man lucks of luck

 

[kowboy]

I really don't understand what happened to you here. If you were trading with an online direct access broker, it would be impossible to conduct daytrading in a business like and professional manner, if your case was anything but rare.

Most online daytraders are in and out of positions all day long. If the above scenario happened at all, it would be impossible to conduct business.

 

[gr8stock]

Your problem is most likely TD Waterhouse Canada. It is impossible to trade with an outdated e-mail based system with people that have no idea what trading is about.

Get a real direct access broker like IB Canada. It is ridiculous that TD has nerves to charge $29 commission vs $0.01/share at IB.

 

[zman7854]

Quote from gr8stock:

Your problem is most likely TD Waterhouse Canada. It is impossible to trade with an outdated e-mail based system with people that have no idea what trading is about.

Get a real direct access broker like IB Canada. It is ridiculous that TD has nerves to charge $29 commission vs $0.01/share at IB.

I second that advice, if you want problem free execution w/ bargin basement commission AND lightning speed fills - switch to IB dude.

 

[lw27]

Thanks for your replis guys, I am already planning to close my TD account and switch to IB or Questtrade as soon as possible.
Still going to file the complaint even knowing mostly nothing will happen.
TD sucks!!!

 

[Bob111]

Quote from lw27:

Thanks for your replis guys, I am already planning to close my TD account and switch to IB or Questtrade as soon as possible.

are you still have some money and balls to continue your jorney?!
what a tough guy!