Oanda refused me an account due to lack of knowledge, then decided to give it to me anyway and deposit £250 for free. Cause for concern?
I've been demo trading for about half a year now, and got it into my head that i was probably ready to start trading for real. Doing some research for accounts to set up i came across Oanda and saw positive reviews and that they were one of the older fx traders. Seeming reliable, i went to sign up for an account with them. At the end of their account process it asks you multiple questions, testing you on your knowledge of the Forex market. I did not pass, and had my account refused. Taking this as a sign i was not ready, i've gone back to learning, found this subreddit and am currently running through the Babypips course. I would have thought this the end of the story, but three weeks later i receive a missed call/voicemail from Oanda, saying that they wish to speak to me about opening my account. I ignored it, since i'm still going through the course. A few days later they call me again, leaving another voicemail to chase, and then again. After the third one i just blocked the number, but i kept getting voicemails from them. Listening to these they now tell me that they've gone through with creating my account, and they've deposited £250 for me to start spending. They also say that after five completed trades i'll be able to withdraw the money. They have since called me about ten times, once a day, always leaving a voicemail. Considering they originally denied me an account due to lack of knowledge (which i'm perfectly willing to accept, i was trying to jump in too early) this all seems kind of dodgy. They're not only giving me an account, but they're encouraging me to get to trading, when they specifically know that i wasn't able to pass the test. Is this normal behaviour for a group like Oanda? Are they trying to target me like i was purely a gambler? Should i take advantage(sign into the account, make five tiny trades, close them and withdraw the <£250)? Or do i just contact them to tell them to close the account and leave me alone, (or just ignore them altogether)? Thanks in advance.
So, long time lurker of this subreddit, but only have posted once before. I'll get to that later. First, I'd like to share my appreciation for this sub as a new beginner getting into trading. There's a lot of crap out there and it’s hard to sift through it. Not saying crap doesn't get posted here, but it's well modded. So thanks for that. This is a decent place to get grounded. Intention of this post is info from one newb to other newbs getting started. The purpose of this post is more for information and factual stuff than advice. As a beginner some times just factual info can be the most help rather than advice. I’ll try to make this quick. Probably won’t be, I’m summarizing a year and 4wks here. How I got started. I was listening to Jim Cramer on Mad Money while at work. Yea don’t laugh. I always wanted to trade stocks, but never really had the capital to do it. The idea of working from home and trading always appealed to me like it has to many others. Also, I was getting frustrated with my job, (still there by the way). Anyways, once I finished paying off all my school loans I started seriously looking in to trading. I’m 26 atm. Quickly learned I still didn’t have the capital to trade stocks the way I wanted to. Living in the U.S. and subject to the pattern day trading rules I would need 25k. Which I don’t. Not sure where I found the info but looking for other ways to trade I discovered spot forex. Hey! And you don’t need 25k to trade like a mad man. Quickly learned from multiple sources, seriously its everywhere, if doing FX you need to go through babypips. So 1 year ago at the beginning of March I started working my way through baby pips. Also, I opened up a practice account with Oanda at the same time of starting babypips. Being in U.S. the broker options are limited. I saw the big 3, Gain, FXCM, and Oanda. Gain had terrible reviews, FXCM already had a sketchy past, so I picked Oanda. But honestly they all have bad reviews, but I wanted to trade. Took me about 2 months to work my way through baby pips course while trying every indicator under the sun on my practice account. Also discovered tradingview during this time. Best analysis center out there honestly. Now around my 3rd month I started to hit this wall ( this is a magical wall that re-appears throughout this endeavor whenever you finally think you’re getting somewhere) . Realizing that with all the crap and indicators on the screen and if I’m being honest with myself I haven’t got a clue what the crap I’m doing. I knew I needed to simplify things and stick with things that stuck out to me (you know what they say, find your edge). For me that was going to be MACD. It’s the one thing I thought I understood. Keyword “thought”. And only in the larger time frames 4hr + charts. I could clearly see divergence and convergence throughout the charts. And I could clearly see a shift in the trend after things like divergence. So my goal was to master the MACD. It was brutal, but in some ways it worked for me. I could clearly see that an up or down trend was dying out on the daily or 4hr. charts. So when I thought the trend was almost over I would start taking reversal trades or what I thought were break outs of the trend. My practice account almost got murdered multiple times. But if I was convinced the trend was turning, I kept buying or selling more positions until it reversed (but sometimes it never turned and I just ended up cutting a huge loss). Now I’m getting close to 6 months of trading. I was up about 40% on my 100k practice account. Believe me, I understand I still didn’t have money management, and it was probably complete luck, and it was stupid trading with such a large practice account, but at this point in my mind I thought I was ready for the “next stage.” Going live, some people suggest not going live until you have your strategy completely mastered. ( I didn’t) So naturally my sympathy’s fell with those who suggest after 3 months of positive trading you should start prepping yourself mentally with a small real account. By this time I had saved up $3k to throw into my live account with Oanda. And I told myself I was mentally prepared to completely lose all 3k (was I really? I don’t’ know). Why did I pick 3k as my start amount? To me it was just large enough that it would hurt if I lost it, and the potential wasn’t too small where if I was successful I would only be able to buy a happy meal from McDonalds. So here I am, 6 months into trading with a live account. It started about as bad as one could expect for someone with no money management. I still didn’t know how to take profit with targets. It’s like I took a stupid pill right before trading live. Cause not only did I not trade divergence all the time, I started taking trades from others on tradingview. Hence my first post on this reddit which I got railed for copying another persons trade. I had to take break for like 2 weeks after that to recoup my mind. I lost about 25% or more of my account. Started taking money management seriously at this point. Started reading up on it, started taking calculated trades with risking only 2% of my account. Those first 2 weeks were necessary for me to grasp money management. Believe me I read all about money management, I even understood it for the most part, but I didn’t really utilize it till I took that hit on my account. Reading is not the same as experiencing. Now things started to work out for me again. I went back to searching for divergent trades, my trades. But I also started looking for others on trading view who traded just divergence. This helped, especially when it came to spotting trades you agreed on. I didn’t just follow the highest rated traders, I followed those who were trading similar to my style. Now, believe me, I still suck at trading at this point, but my money management still allowed me to recover my account, and even gain on it. But I was break-even trader 9-10 months in with my bad trading. Now this is going to be the part that I never thought I would do, especially since its frowned on in general by this group. But I paid for a trading course, well more like to join a permanent trading group who trains you. (I’m not recommending this) I won’t say who or what the group is. This is just factual information. Yes I paid 2.5k to join a group. So don’t ask who the group is. I’m not writing all this just so the mods delete it as a promotion. But through trading view I found someone whose charts I liked a lot and got in contact with him. Our trading styles were similar and he peaked my interest and was nice when I contacted him and I wanted to learn more faster. So like I said, I found someone whose trading style I associated with. Your style maybe completely different and probably is. So finding a group who doesn’t trade like you would be a complete waste of time. And what do I think of my experience in a trading group? I refrained from live trading during these several weeks of training. I wasn’t the only student. In general we had 1 week of lessons, then split into a small groups for 2 weeks of 1 on 1 trading with a senior trader. Rinse and repeat for a couple of weeks that was my training. All in all, it wasn’t all I expected and yet it was more than I could have expected. I did learn new techniques that I believe help me, but I only finished 2 weeks ago. So all in all its been 1 year and 4 wks since I started trading. I haven’t made globs of money in a short time. And I’m still not as good as the senior traders in our group. I still maintain a full time job because it’s necessary for me at this point. I was waking up at 4:30am in the morning just so I could attend these training sessions. And trade before and after work, and have reduced my work hours from 50+hrs a week down to just 40 hrs so I have more time to trade. I hope one day to quit my job so I can trade full time. Anyways that’s my first year of trading in a nutshell. Going into my second year. If you would like me to update again at the beginning of my 3rd year give it a thumbs up. God Bless.
ECN. Used most by professional traders. Difficult platform for beginners
Minimum deposit $10000 (or $3,000 if under 25yo) * Well diversified -Oanda
Market maker. Second largest retail FX brokerage in the US. Easy platform for beginners.
No minimum deposit
Not well diversified, but well capitalized -Gain Capital (whitelabel forex.com) *Market Maker *Fair spreads *Minimum deposit $250 *Well diversified -FXCM Inc
ECN. Largest retail FX brokerage in the US
Minimum deposit $2000
Not well diversified. CAUTION: FXCM nearly went bankrupt in Jan-2015 due to a lack of diversification and low capitalisation. As a result FXCM LLC was bailed out with a large loan which may prove difficult to pay back. Be warned that their business may not be sustainable in the long term. -MBTrading
ECN. Mid-sized retail FX brokerage
Minimum deposit $400
International Only- -LMAX (whitelabel DarwinEx) *DMA broker based in the UK. Note that as a DMA broker LMAX eliminates the ability for LPs to last-look transactions. This may result in reduced liquidity during volatile times as liquidity providers would be likely not to risk posting liquidity to LMAX's pool. *Tight spreads *Minimum deposit $10,000 *Fairly well diversified -Dukascopy *ECN based in Switzerland, but available elsewhere depending on local regulations. *Tight spreads *Minimum deposit $100 *Fairly well diversified -IC Markets *ECN based in Australia *Fair spreads on standard account, tight spreads on professional accounts. *Minimum deposit $200 *Fairly well diversified -Pepperstone *ECN broker based in Australia. *Fair spreads on standard account, tight spreads on professional accounts. *Minimum deposit $200 *Not well diversified Software / Apps: Desktop/mobile
Apps are typically broker dependent. Some brokers have their own proprietary software, while others lease common software like Metatrader or NinjaTrader. Some software has a large development community for indicators and EAs.
Terminology/Acronyms: www.forexlive.com/ForexJargon - Common terms and acronyms FAQ: I need to exchange money, how do I do it? This isn’t what this sub is for. Your best bet is using your bank or an online exchange service. Be prepared to pay a hefty fee. I have money in one currency and need to exchange it into another sometime in the future, should I wait? Don’t ask us this. We speculate intraday in FX and shouldn’t be relied on to tell you what’s best for you. Exchange the money when you need it. I have an FX account, should I start trading demo or live? This is highly debatable. You should definitely demo trade until you have mastered how to use the trading platform on desktop and mobile. After that it’s up to you. Many think that the psychology of trading live vs demo trading is massively different. So it may pay to learn to trade live. Just be warned that most FX traders lose almost their entire first account so start with a low affordable balance. What’s money management? Money management is a form of risk management and is arguably the most important aspect of your trading when it comes to long term survival. You should always enter trades with a stop loss - the distance of the stop allows you to calculate how large of a percent of your account balance will be lost if your trade stops out. You can run a monte carlo simulation to figure out the risk of having a number of trades go against you in a row to drain your account. The general rule is that you should only risk losing 1-4% of your account per trade entered. More on this here: www.investopedia.com/articles/forex/06/fxmoneymgmt.asp www.swing-trade-stocks.com/money-management.html What about automated trading? Retail FX traders have been known to program “Expert Advisors” (EAs) to automate trading. It’s generally advisable to stay away from that until you’re very experienced. Never buy an EA from a developer because the vast majority of them are scams. What indicators are best? That’s up to you to test and find out. Many in this forum dislike oscillating indicators since they fail to capture the essence of what moves price. With experience you will discover what works best for you. In my experience indicators that are most popular with professional traders are those that provide trading “levels” such as pivot points, fibonacci, moving averages, trendlines, etc. What timeframe should I trade? Price action can vary in different timeframes. In longer term timeframes the price action and fundamentals are much more clear. Unfortunately it would take a very long time to figure out whether or not what you’re doing is successful on longer timeframes. In shorter timeframes you can often tell very quickly if what you’re doing is profitable. Unfortunately there’s a lot more “noise” on these levels which can prove deceptive for those trying to learn. Therefore the best bet is to use a multi-timeframe analysis, working from top-down to come up with trades. Should I trade using fundamental analysis (FA) of technical analysis (TA)? This is a long standing argument in these forums and elsewhere. I’ll settle it here - you should have an understanding of both. Yes there are traders who blindly ignore one of the other but a truly well rounded trader should understand and implement both into the analysis. The market is driven in the longer term through FA. But TA is necessary to give traders a place to enter and exit trades from a psychological risk/reward standpoint. I’ve heard trading Binary Options is an easy way to make money? The general advice is to stay away from binaries. The structure of binary options is so that when you lose the broker wins. This incentive has created a very scammy industry where there are few legitimate binary options brokers. In addition in order to be profitable in binaries you have to win 55-65% of the time. That’s a much higher premium over spot FX. Am I actually exchanging currencies? Yes and no. Your broker handles spot FX is currency pairs. Although they make an exchange at the settlement date they treat your position in your account as a virtual currency pair. Think of it like a contract where you can only buy or sell it as a pair. In this sense you are always long one currency while short another. You are merely speculating that one currency will appreciate or depreciate vs another. Why didn't my order fill? Even if price appears to cross over a line on your chart it does not guarantee a fill. Different charting platforms chart different prices - some chart the bid price, some the ask price and some the midpoint price. To fill a limit order price needs to cross your limit's price plus the spread at the time that it is crossing. If it does not equal or exceed the spread then it will not fill. Be wary that in general spreads are not fixed. So what may fill at one time may not at another.
Your question is a bit vague, but I’ll answer from the perspective of whether BabyPips’ material is good enough to get you trading. Whether you make successful trades is another matter. :) Babypips offers their School of Pipsology, which, in a nut... The OANDA Corporation is a US-registered financial firm founded in 1996; this OANDA review will focus on the period after 2001, when OANDA launched its retail brokerage division. Though a tech firm at heart, this broker was the first to introduce a pipette to Forex trading in 2004 (a pipette refers to the fifth decimal in quotes of currency pairs). BabyPips.com helps individual traders learn how to trade the forex market. We introduce people to the world of currency trading, and provide educational content to help them learn how to become profitable traders. We're also a community of traders that support each other on our daily trading journey. Forex Justice - Oanda. OANDA Forex Broker, OANDA Review, OANDA Information. Connected 2011-12-21 07:20:57 UTC #23 [B]Oanda Review Quote[/B] [I] It seems Oanda is now playing its dirty games. All was fine when I was losing but when I started profiting and going in the green, all sorts of problems started to pop-up, from disconnection problems, lags and the clincher of it all, slippage. It seems ... Saturday, 22 July 2017. Oanda Überprüfung Babypips Forex Here’s an excellent review of Oanda from Elite Traders website that anyone coming across this thread may find useful: [I]"Oanda seems to offer institutions and retail traders an alternative to trade Forex. They introduced second by second interest calculation and unit size trade increments years ago before the competition. To this day the competition is trying to catch up. Those antiquted ... Forex trading is one of the most popular types of trading there is in the financial field. Currencies hold a certain degree of importance to almost everyone in the world, whether they are aware of it or not. This is mostly because currencies are the medium being used in order to conduct foreign trade and business. Forex trading can already be seen in a person’s daily life. For instance, if ...
GRADUATED FROM BABYPIPS! (REVIEW) Getting started in forex!
Learn My Strategy https://www.supertrendfx.com My Broker! https://kot4x.com/?cmp=2p9x4f6x&refid=1180 Free Signals https://t.me/supertrendforexsignalschat You... In this BabyPips review video, we discuss my honest opinion on popular Forex education website BabyPips. Get access to your free Forex toolkit https://vintag... Today I talk about baby pips and whether it’s a good place to learn to trade. If you are a complete beginner in trading then this is a good place to start bu... Hey guys thanks for stopping by! In this video I go over the best free forex course that you can get. It covers pretty much everything from A to B. It's perf... Is BABYPIPS Good (Forex) - BABYPIPS Review - Duration: 8:59. How To Trade Forex For Profits - VintagEducation 2,086 views. 8:59. How to Trade With Fibonacci Retracement Step-By-Step Guide ... I have been testing this strategy for the last 10 months with results and very few losses. Check it out: https://www.babypips.com/trading/forex-hlhb-system-e... Join Gnome Alerts Here: http://www.gnomegarden.io/gnome-alerts/ Join The Discord: https://discord.gg/dK7Uwr8 Get Profit Trailer Here: https://profittrailer.c... See our broker comparison page: http://www.informedtrades.com/522074-forex-brokers-review.html KEY POINTS 1. In my personal opinion, Oanda is a great choice ... These are our top 3 forex Brokers! Insanely I forgot to mention who ranks best for spreads & currently Blueberry Markets seems to be giving you the best bang... A limit order is a market order that includes special instructions preventing it from being executed until the market price reaches the price you specify whe...