DOW Future - down 120 points in one tick?

[wfo]

Very annoyed - went long on the DOW last night after the close around 9:15pm (UK time) and was happy as the position came to me... Checked it again around 10pm and I'd been stopped out when I should have been well in the money! IG Index tell me (and I've checked, so they're not telling porkies unfortunately) that as the DOW future reopened at 9:30pm (UK time) last night, it was down 120 points for a couple of ticks before instantly reverting to its previous level.

Net result, I've lost some money and lost all of the upside from the trade (it's currently up 80 points).

Now I can't argue with IG, but is this sort of price action legal on the underlying future? Looks like some serious manipulation to me...

 

[Jack Hughes]

Take a look at the other thread. You can use IG's own explanation of how manifest errors occur to claim your money back and/or reinstate the trade.

 

[gle101]

Very annoyed - went long on the DOW last night after the close around 9:15pm (UK time) and was happy as the position came to me... Checked it again around 10pm and I'd been stopped out when I should have been well in the money! IG Index tell me (and I've checked, so they're not telling porkies unfortunately) that as the DOW future reopened at 9:30pm (UK time) last night, it was down 120 points for a couple of ticks before instantly reverting to its previous level.

Net result, I've lost some money and lost all of the upside from the trade (it's currently up 80 points).

Now I can't argue with IG, but is this sort of price action legal on the underlying future? Looks like some serious manipulation to me...

Nothing you can do really, if the Dow future (YM future) moves IG price quote have to reflect that movement. It is a very volatile market at the moment, these kind of short lived draw downs can occur, resulting this time that you were stopped out.

 

[tccc]

Hello all,

New here, so please bear with me! I had a similar issue with a Tradefair 'Wall Street' rolling daily position yesterday evening. The spike occurred on opening at 9:30pm, and I don't have a problem with that - such things happen. However, what happened with Tradefair was as follows...

1) Long position had been open since earlier in the day - stop set at 9683, no limit set.

2) At 23:41, a Buy transaction was executed by Tradefair, and was filled at 9683 (which obviously is some way below the available price at 23:41).

3) Also at 23:41, a Sell transaction was executed, filled at 9801.

4) At 00:18, another Buy transaction was executed, filled at 9683.

This completely baffled me, because all I expected was one Sell transaction at 9683 (the stop), and really, I expected that to be processed straight away (or at least quite close to 9:30pm).

I've emailed Tradefair, and this is their response. I'd be grateful if someone more experienced could give me some guidance as to whether they are talking any sense!

------
Unfortunately there was a delay in some orders being executed last night due to the large amount of orders which were hit. As there was a delay in your new order being filled (at 9683 at 23:41) the limit was reached as soon as the position opened as the market went straight back up after the spike. Therefore your limit of 9801 also executed at 23:41 straight after the position opened.

The stop order which was executed at 00:18 was also delayed in being filled as the market gapped straight down to the order level of 9683 and was therefore hit at around 21:30.

Therefore all your orders have been executed correctly but unfortunately were subject to a delay in being filled.

I hope this answers your query, however if you have any further questions please do not hesitate to contact us.
------

Any ideas?!

Thanks,
Daniel.

 

[Jack Hughes]

Nothing you can do really, if the Dow future (YM future) moves IG price quote have to reflect that movement. It is a very volatile market at the moment, these kind of short lived draw downs can occur, resulting this time that you were stopped out.

Ah, but are you sure the Dow future actually traded at that level and it wasn't just that the spread that widened?

 

[gle101]

Ah, but are you sure the Dow future actually traded at that level and it wasn't just that the spread that widened?

Yes very good, he should check it out and try to get the trade reverted.

 

[dmytro]

Yes very good, he should check it out and try to get the trade reverted.

:cheesy:

 

[buzbe]

I had this with cadburys shares before the purchase... I was stopped out and down £60.. when I called it appears they had received false information from their feed for 1 tick which had caused me to get stopped out.

Took them forever to correct it. Seems their quick if you profit from it, and they don't care if you loose when its their fault.

Still I made £50 from that buy out in the end!