Negligent brokers and advisor protection.

The brokerage industry has expanded significantly recently, and we see the emergence of new and diverse brokers every day. Dealing centers and their subsidiaries have also begun to develop rapidly.

The emergence of such competition in this industry has given traders maximum deposit bonuses, promotions, and all sorts of perks that are hard to imagine trading without. Take for example the 1:1000 leverage offered, when just a couple of years ago, 1:500 was hard to come by.

The number of bonuses and advantages offered by some brokers over others can be overwhelming. However, amid all the benefits that have come with the development of this industry, it's worth noting that the number of dishonest brokers has also increased exponentially.

 This is primarily explained by simple statistics. On average, only three percent of people are able to make money on the Forex market, while everyone else, to my deep regret, simply wastes their day. And if we're being honest, roughly the same percentage of people achieve success in real life.

Now, about the most pressing issue. Look, if practically everyone is losing their accounts, what's the point of placing trades on the interbank market? That's the thinking of a typical fraudulent broker, who not only doesn't place trades on the interbank market, but also helps successful people drown in the throng of losers by using various nasty tricks in their trading.

One of the most popular tools in the hands of a dishonest broker are requotes and slippage.

Slippage is the difference between the price at which a trader wants to close a position (as stated to the broker) and the actual price. I'm sure many have experienced this: during a sharp price move, you want to lock in your profit, but the broker simply doesn't allow it, returning an error stating that it can't execute the transaction because the price has changed while the signal was being sent to the broker. Instead of profit-taking, you end up with a loss, and if you're a scalper, you simply lose the entry signal .

Expert Advisors, especially scalpers and those trading on breakouts of important levels, suffer greatly from this kind of behavior. To avoid this, many developers implement a slippage function into their Expert Advisor algorithms. In most cases, this line is called "slip" or "slippage." Here, you can set the maximum slippage in points at which an order will be opened.

A requote is when a broker re-requests a new price, preventing you from opening a trade. In the second case, you have no chance of protecting yourself, and the advisor can request a price indefinitely, only allowing it to open a trade when it's clearly unprofitable for you.

Another powerful weapon a broker can use against you is connection failure. This often happens before or after important economic news releases, so you can't lock in losses or profits while the connection is down. This is virtually impossible to combat, and the only thing you can do is try to detect it. Various expert assistants use this method, sending you an email when connection is lost. If this happens frequently and isn't due to poor internet connection, you should immediately withdraw your funds and change brokers .

Another more brazen tool in the broker's hands is manipulation of your profit and stop order. Yes, yes, manipulation. I've often encountered situations where my stop order would either trigger early or not trigger at all. Brokers pull this kind of scam when your expert advisor, or you, are working with a large number of orders. Many people who use Forex advisors and network traders have noticed this.

There's no point in fighting such a broker, but as a preventative measure, you can use an advisor that will close your positions when a certain profit or loss is reached without sending data to the broker's server (when opening a position, you simply don't specify a profit or stop loss). You can also ask the programmer to implement this feature when writing the advisor.

The most dangerous tool in the kitchen can be price manipulation. Just a year ago, there was a scandal involving a broker who managed to create a candlestick out of nowhere, a whopping 100 pips high. If this happens to you, try to stop this scam and contact the broker's regulator to have your losses reimbursed.

Honestly, fighting the tricks of dishonest brokers is practically useless. If you notice you're being scammed, just take your money and run away. When searching for a broker, pay attention to the order execution type. Brokers that use Instant Execution often issue requotes and slippage. Therefore, I recommend using Market Execution . Thank you for your attention, and good luck!