I finally stopped trusting broker ratings after that one trade in Chicago

Back in March I was using a broker with a 4.8 star rating, but after a huge slippage on a GBP/JPY trade at 3 AM, I realized those reviews are mostly from people who haven't hit a real market move yet. Has anyone else noticed how ratings skew positive until you actually withdraw profits?

3 comments

3 Comments

dakota7874d ago

@lily89 nailed it, those 4.8 star ratings always crack once you actually try to move real money out the door.

laura_knight543d ago

Wait, are broker review sites basically just a graveyard of accounts that blew up before anyone could update their rating? Because that 4.8 star rating for the Chicago broker I used dropped to 2.1 after like 30 people posted about the same slippage issue. Makes you wonder how long those sites sit on a star rating before they bother to update it when traders start disappearing.

lily894d ago

oh come on man its not that deep. slippage happens at 3am on gbp/jpy? yeah thats like the worst time for liquidity in that pair. broker ratings are always gonna be from people who either got lucky or are still in the honeymoon phase. i wouldn't say its some big conspiracy, more like most traders just dont stick around long enough to leave a bad review when things go sideways. and honestly if you're trading that pair at that time you kinda know what you're signing up for.