CMC Markets Is Why Im Broke

 50 Words on – Why you can go Broke with CMC Markets?

Although the company has been around for a long time (1989) and Goldman Sachs owns 10% of it, a bad vibe surrounds them. Basically, people complain about all the potential issues you can think of: spreads widen too much at news, slippages and re-quotes occur, their “Next Generation” platform is too clunky and complicated, stops are hunted, etc, etc. All this got them a 1.60 star rating out of 5 possible (user rating) on FPA at the time this review was written and users on other forums don’t consider them a reliable broker either. However, for me the main drawback is the fact that they don’t offer Meta Trader 4; in other words, you cannot use Expert Advisors or custom indicators, a fact which greatly limits the flexibility of trading. On top of that, if only half of the allegations made by users over the internet are true, you have a working recipe for going broke.

 

How can you avoid going broke with CMC Markets

  • Do not trade during highly volatile conditions (news releases, speeches of heads of Central Banks, etc) because that’s when you will pay high spreads and slippages/re-quotes can occur.
  • Adapt your trading so that you don’t use MT4 Expert Advisors. If that is a big part of your trading, probably CMC Markets is not the broker for you.
  • Withdraw periodically, at least until you are convinced about their honesty.
  • Widen your stop loss while at the same time lowering your position size
  • Try to hedge your CMC Markets exposure with other brokers
  • Read the entire Terms and Conditions Document (you should do this before opening an account with any broker)
  • Compare the service they provide with other brokers’ and decide for yourself if you want to continue trading with CMC Markets… or don’t open an account in the first place.

 

 

Bottom Line – Would I Trade with CMC Markets? No Way.

Internet complaints can be true or not but the fact that MT4 is missing puts me off completely. I know that Meta Trader 4 has its limitations and flaws, but I am too used to it and I wouldn’t change it unless a good reason comes along, but CMC Markets is definitely not that reason. And there’s another thing which might be considered minor by some of you but it’s important enough to me: I couldn’t locate their live chat button so I can only assume they don’t have one (… or I need glasses). I don’t use live chat that much, so that’s not the main issue here, but the lack of it denotes un-professionalism, in my opinion.

 

Have We Saved You From Going Broke?

  • Scott

    I have asked them to close my account. I had my account liquidated on 17/12/16 on a sell aud/jpy trade at the price of 86.146. The days high was 86.049 which I checked out on 3 other websites. The response to my question of do you make up your own prices was as follows….”It is important to note, as you are trading our products, your orders will be executed on the prices given on the platform”. So, yes it appears they do their own prices. You cannot arbitrage as the spreads balloon out espically first thing Monday mornings. I’ve noticed this for the last 3 weeks I’ve had trades and had sudden whipsaw flucs that take out your stop loss and then go in the opposite direction. When you put your money in their hands you won’t get any back. Is there any regulator that can keep an eye on them? As I wish to tackle their trickery further

    Reply
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