Saturday, November 17, 2007

Irony of Life or how forex brokers deal with you

Last night I went home from my University office in very good mood. I was working hard whole day and have closed positions in all my accounts in plus. I thought I did. At university office I cannot use java applet that is why I always relay on my web-based forex trading platform. After noticing that USD is struggling to go down through 1.4580 level but is failing I have decided to liquidate all my positions on the level of 1.4590 – herewith generating profit with 6 per cent return this week. I think this is a reason to be in good mood. At midnight I’ve turned on my Laptop and wanted to check how much gain I had exactly: and there was a big surprise – I had quite big unrealized loss in my accounts because positions were still open and moving against me. My broker has not executed my order and I was still in the same trade. Nice, I do not know how that can happen, but that has happened. I will surely report this to the dealer but I am quite positive they will find some good reason to explain me what I did wrongly – despite the fact that I have seen message on my screen that positions were liquidated. Whatever, I am looking for other solutions of this problem – the problem is EUR is a buy for next Monday – that means I am against my trading system in the trade. There are two options to consider: I can hedge the position with other good correlated pair as USDCHF or realize the loss. Second option is painful but less risky. That is why I will take first: I like to take risk and I would not let my broker to be a winner. All in all I must take these orders in plus now.

But life has once again reminded me that it has incredible sense of humor and irony: you are sure you did everything correctly but surprisingly you see that in fact everything went wrong and you have to work hard to correct mistakes you are not fault of. That is ok – it has happened in my life many times and it will happen in the future again - life is life.

I will enjoy my weekend first. I know some great blues bar in the down town where I will go tonight to chill out – but at first I have to do some statistical analysis and find a date – it is not funny to go out without a good date. Will report later whether I have managed that or not.

Take care.

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