Strange goings on with marketmaker!

[Carlosyabrudy]

CMC/Market maker is a dodgy company to say the least. There are just too many unusual occurances that have happened to me over the years, to list here. It's not just me, all the posts about CMC seem to be about dodgy practices, and the reviews are always 1/10 for CMC

I'm looking at other platforms to move over to. The problem is I've lost a lot of money with CMC, and I just feel I want to get it back before I leave them. However, I feel this is unlikely as the odds seem to be in favour of the house.

They say they are market makers so do not have to 100% reflect the underlying price. But imagine if you went into a bookies, placed a bet for a team to win 1-0, the bet wins, and then when you go to claim the bookies say 'well our results don't 100% reflect the actual result so we are only paying out if you have 1.5-0'.

One way I see it....

if i catch the market at the low point of the day.... They cant cheat me out of my profits.... im following yahoo finance's charts so they go in line with CMC and i just place wider stops than the usual by about 4-5 points.

Ive bought at a low point today and its only rising. THey cant spike it down below my stop loss because the market hasnt gone down there. I could just print out and claim shenanigans!

 

[winmoney]

Dma

This can be said about all SB companies, if you want 100% market prices then DMA is your only option.

Yes appretiate DMA is the best way to get accurate prices (IGMarkets, I think are DMA or at least Level 2).

But the point I'm trying to make is I can't understand how these SB/Marketmaker firms companies can exist legally. It's OK if they have a fixed 'spread' to take a profit. But when they are given free reign to set prices, there is surely a huge conflict of interest ?

 

[Carlosyabrudy]

They cant set prices with free reign that much.

they are governed by the Financial Services Authority but in my experience, authority means .... service to take money away from a business because it cant be taken any other way..... same with Security Industry Authority. Was set up to stop certain people working e.g. criminals and people who shouldnt be in the country but in the papers


"10 thousand SIA licences granted when they should not have been"

So whats the point. Its there to take away 500 quid from every front line operative.

As for SB.... they have to mirror the underlying market to some degree so they cant spike it down way past the point where the low or high is... tahts what i look for.... 2 out of 3 times im right....

 

[gle101]

They cant set prices with free reign that much.

they are governed by the Financial Services Authority but in my experience, authority means .... service to take money away from a business because it cant be taken any other way..... same with Security Industry Authority. Was set up to stop certain people working e.g. criminals and people who shouldnt be in the country but in the papers


"10 thousand SIA licences granted when they should not have been"

So whats the point. Its there to take away 500 quid from every front line operative.

As for SB.... they have to mirror the underlying market to some degree so they cant spike it down way past the point where the low or high is... tahts what i look for.... 2 out of 3 times im right....

Don't blame the SB for your initial trading failures. If you are not pleased with the service with a particular SB move on to another SB or go DMA (direct market access). Look into money management and stop loss levels. But most of all be honest to yourself, is the SB really to be blamed for poor trading results?

 

[Carlosyabrudy]

Don't blame the SB for your initial trading failures. If you are not pleased with the service with a particular SB move on to another SB or go DMA (direct market access). Look into money management and stop loss levels. But most of all be honest to yourself, is the SB really to be blamed for poor trading results?

SB IS to blame for my trading failures since the spikes reach my levels despite the levels not existing in the real market or my stops are hit even though never reached. e.g. stop at 2665 and i am taken out though it only goes down to 2667.

But aside from that... entries can be better. FIrst real thing i learnt was money management and minimizing risks.

Everyone can always improve.... but this is ridiculous sometimes.

 

[gle101]

SB IS to blame for my trading failures since the spikes reach my levels despite the levels not existing in the real market or my stops are hit even though never reached. e.g. stop at 2665 and i am taken out though it only goes down to 2667.

But aside from that... entries can be better. FIrst real thing i learnt was money management and minimizing risks.

Everyone can always improve.... but this is ridiculous sometimes.

So how do you know? The SB reflect the real market in movement, not in figures but in movement. Do you have a external feed while trading the SB, so you can compare?

 

[Carlosyabrudy]

So how do you know? The SB reflect the real market in movement, not in figures but in movement. Do you have a external feed while trading the SB, so you can compare?

I compare on the free yahoo live market data. SB wil obviously spike prices a little more to run into peoples stops.

I do know my trading can be better but its a case of market randomness and not knowing when things will happen. It is very hard to use technical analysis for an Index since it is the behaviour of 30 or 100 or 250 instruments. Agree...disagree?

 

[Vaco]

disagree, an index is not going to have as severe a reaction to news as a single stock is.

eg

Tesco found guilty of price fixing = share price drop, index will not drop as far as it will be held up by other companies.

So if news is less of an influence the charts should have more identifiable patterns.

 

[gle101]

I compare on the free yahoo live market data. SB wil obviously spike prices a little more to run into peoples stops.

I do know my trading can be better but its a case of market randomness and not knowing when things will happen. It is very hard to use technical analysis for an Index since it is the behaviour of 30 or 100 or 250 instruments. Agree...disagree?

This feed will not help you. I suggest you get an external feed. A live exchange future feed will be the best choice. Otherwise, there is a lot of free demo accounts around (MT4), that would serve the purpose of comparing with the SB feed. For most of the part I trade the indices, so if you are trading shares that would be another issue.

 

[Carlosyabrudy]

disagree, an index is not going to have as severe a reaction to news as a single stock is.

eg

Tesco found guilty of price fixing = share price drop, index will not drop as far as it will be held up by other companies.

So if news is less of an influence the charts should have more identifiable patterns.

News and figures seem to hit the Dow Jones very severely.

 

[Trader333]

In my view you are making life very difficult for yourself trading if you are not willing to pay for the tools to do the job. This means that it is essential to have a datafeed that gives true market prices if you use SB to trade. On several occasions associates of mine have managed to get funds reinstated from CMC and other SB companies when they have been stopped out and have called saying that they have an independent data feed and can prove the price did not go any where near their stop. It has sometimes required them to send a screenshot but when they did the funds were reimbursed. If you don't have this then you have no way to prove your case.


Paul

 

[winmoney]

In my view you are making life very difficult for yourself trading if you are not willing to pay for the tools to do the job. This means that it is essential to have a datafeed that gives true market prices if you use SB to trade. On several occasions associates of mine have managed to get funds reinstated from CMC and other SB companies when they have been stopped out and have called saying that they have an independent data feed and can prove the price did not go any where near their stop. It has sometimes required them to send a screenshot but when they did the funds were reimbursed. If you don't have this then you have no way to prove your case.


Paul

Very usful response. have been trading with CMC for three years (yes I am trying to change platform as soon as possible). But didn't realise that you could try and claim money back, there are lots of sources for live market feeds, so I'll get one setup this weekend. Thanks

 

[Carlosyabrudy]

In my view you are making life very difficult for yourself trading if you are not willing to pay for the tools to do the job. This means that it is essential to have a datafeed that gives true market prices if you use SB to trade. On several occasions associates of mine have managed to get funds reinstated from CMC and other SB companies when they have been stopped out and have called saying that they have an independent data feed and can prove the price did not go any where near their stop. It has sometimes required them to send a screenshot but when they did the funds were reimbursed. If you don't have this then you have no way to prove your case.


Paul

Thanks a lot for this Paul. I'll bear this in mind. It has happened twice. :cheesy::cheesy:

 

[Carlosyabrudy]

Very usful response. have been trading with CMC for three years (yes I am trying to change platform as soon as possible). But didn't realise that you could try and claim money back, there are lots of sources for live market feeds, so I'll get one setup this weekend. Thanks

Are there any free or low cost live market feeds?

 

[gle101]

Are there any free or low cost live market feeds?

If you trade the Dow (YM future) I suggest you get Opentick.com in combination with NinjaTrader free version. This is a completely free service. With the proper tools you will be more secure in your trading, and I guarantee, after installing it, you will not blame the SB that much for stopping you out. Lets not forget the hardware setup, computer and TFT monitors for correct monitoring the charts in different time frames and so on.

 

[Victor90]

hey guys.

Last week (June 2nd).... I was trading around 2pm..... and I was stopped out by a spike while going short on the Dow Jones Industrial.....

I then had a power cut after my trade ended..... 5 mins after approx,.

Upon restartin the client.. the data was different on my chars than what I saw while being in a live trade. I remember the prices because I was following them but the same prices were not there when checking back again.

Anyone experienced anything similar with CMC?

Hi,
I have had this expericence with them before.

 

[Victor90]

CMC markets does not steal your money! But its a fact that thier platform really really sucks and often show wrong p/l. It has a couple of times for me, and at CMC helpdesk they just sayu there is nothing to do about it.

 

[gle101]

CMC markets does not steal your money! But its a fact that thier platform really really sucks and often show wrong p/l. It has a couple of times for me, and at CMC helpdesk they just sayu there is nothing to do about it.

Nice to have a Swedish fellowmen on this forum.

Why don't you move on if you are not satisfied with CMC? There are many good SB companies around that might provide a better service for you.

 

[Victor90]

Nice to have a Swedish fellowmen on this forum.

Why don't you move on if you are not satisfied with CMC? There are many good SB companies around that might provide a better service for you.

Well, there are 2 resons, first I havent had the time. hehe and seconde I am applying for a job at cmc markets, haha!

But im gonna change, i think ill chgange to Forex (FX), CFD, Futures and Equities & Options Trading with ODL Securities. Which broker are you using?

Btw: heja Sverige i matchen nu!

 

[gle101]

Well, there are 2 resons, first I havent had the time. hehe and seconde I am applying for a job at cmc markets, haha!

But im gonna change, i think ill chgange to Forex (FX), CFD, Futures and Equities & Options Trading with ODL Securities. Which broker are you using?

Btw: heja Sverige i matchen nu!

Aj aj, inte bra, ren oflax i tilläggsminuterna. Sverige kommer igen!

Ha ha, yes that was a good one!