Gain established the following slippage parameters for the Virtual Dealer Plug-ln
used for its institutional server:
Delay: 1 second
Maximum Volume: 100 contracts
Maximum Losing Slippage: 20 pips
Maximum Profit Slippage: 3 pips
Maximum Profit Slippage Volume: 5 contracts
34. Like the retail server, the institutional server also limited profitable slippage
(slippage favorable to the customer) to five standard contracts while negative
slippage (slippage unfavorable to the customer) was allowed on order sizes up to
100 contracts by default (the maximum volume setting). However, unlike the
retail server, the institutional server had asymmetrical seftings for maximum
losing and maximum profit slippage and allowed for negative slippage up to 20
pips before the customer would be requoted. Therefore, customers were far
more likely to have their orders filled when there were large market movements
unfavorable to them as opposed to when they were favorable to them.
35. Customer orders on the institutional server were negatively affected by slippage
due to the "maximum profit slippage volume" setting (i.e., greater than five
standard contracts). From May 1, 2009 through July 31, 2009, customers
ordering greater than five standard contracts on the institutional server
experienced almost $100,000 in losses due to unfavorable slippage when the
market moved against them, but their orders were rejected when the market
moved in their favor resulting in them experiencing zero gains.
See attachment for more detail.
A**forex recently locked me out of trading when the market moved against me, then reactivated the trading option, I am interested to see what muscle F.O.S and ASIC have to sort these crooks out.
Quite ruthless practices by Gain though.