XMReply

2020-12-07 17:23

United Kingdom

Reply

Dear customer, first of all thank you for choosing XM and trusting us! Your XM trading account number is: 6114758. You complained about the maliciously widened spreads in the early morning, which resulted in your position to be liquidated. After receiving the email, we reported it to responsible departments at once, conducted a detailed investigation, and hereby replied you as the following: 1. XM adopts STP mode, and all customer orders are traded at market prices. It is found that you traded a total of 24.5 standard lots of European and American long orders and 23.75 standard lots of European and American short orders at the time. Also, you had partial lock-up, but the 0.75-lot long orders without lock-up took up margin. The margin occupied by 0.75 lots was about US$444.50, and XM’s liquidation ratio was 20%, which means that when your net value falls as low as 20% of the used margin, your position will be liquidated. After detailed verification, your orders were all liquidated at around midnight at platform time on December 3. There are two reasons for the liquidation: 1. The transaction liquidity was poor around midnight, and the spreads were widened due to the low transaction volume. The average spread of the low spread standard account is 8 basis points, but the spread was as high as 100 basis points at the time, which was 10 times greater, (see Annex 1 and Annex 2 for details, the fifth digit after the decimal point is a base point). When spreads are widen, losses will increase, and the net worth will decrease. XM offers only floating/variable spread rather than fixed spread. In other words, spreads will change with market fluctuations. 2. You held your position overnight, which caused a negative overnight interest, resulting in a decrease in net value. For these two reasons, the net value of your account at that time directly reduced to US$45.10, so the first order with the most losses was liquidated at a margin of 10.20%, and other orders have also been liquidated for the same reason. Finally, XM cannot compensate you since your order was liquidated due to insufficient funds (lower than 20%) in the account. Hope you understand it and wish you a happy trading! Thanks

FX3683107360Supplemental Materials

2020-12-04 16:44

Hong Kong China

Supplemental Materials

Please refer to the data of other platforms in the same time period, the spread here is so high! When the margin is about 1100%, the spread is maliciously widened. The platform has not given the specific spread at the time the position is liquidated! The platform's customer service on WeChat did not respond either!

FX3683107360Supplemental Materials

2020-12-04 10:44

Hong Kong China

Supplemental Materials

The problem has not been solved, and the customer service did not give a reasonable explanation.

FX3683107360Supplemental Materials

2020-12-04 10:44

Hong Kong China

Supplemental Materials

The problem has not been solved, and the customer service did not give a reasonable explanation.

WikiFX Mediation CenterReply

2020-12-04 10:41

Hong Kong China

Reply

Hello, have you solved the problem?

FX3683107360Start Mediation

2020-12-04 09:27

Hong Kong China

Start Mediation

XM can’t provide the specific slippage when my positions were wiped out.