ETO Markets Accused of Maliciously Altering Trading Price: Abnormal XAG/USD Quote Causes Client Loss of Over $350,000

BrokersView has learned that a customer widely posted a complaint on social media against ETO Markets, stating that he lost $350,000 due to an abnormal XAG/USD quote on the platform and ETO directly deleted his account.

According to the client's detailed description, at the opening of the market at 7:00 a.m. on November 20, 2023 (Monday), ETO Markets' XAG/USD opened at an abnormal price quoted at $22.4612, which led to an instantaneously forced liquidation of his trading account, with a loss of principal amounting to $350,000 and an account balance of negative $27,742.07.

According to the trading history provided by the client, the XAG/USD closing price on the Friday of the prior week was around $23.7. The client indicated that the spread between the Friday closing price and the Monday opening price of $22.4612 was more than 5%, while well-known platforms, such as CMC and Saxo, did not have such an abnormal XAG/USD quote, and all of them opened at around $23.7.

Therefore, the client believes that ETO Markets maliciously altered the trading price and caused his positions to be forcibly liquidated.

After the incident, the client communicated with ETO Markets about the compensation. However, after a few days, the client did not receive any further response.

ETO Markets’ Recent Reputation

Regulated by ASIC and the Seychelles FSA, ETO Markets is a forex broker that offers traders a wide range of trading options in currency pairs, stock indices, and cryptocurrencies. Despite the fact that the broker is currently under regulation, the recent client reviews appear to be negative.

In recent months, some of ETO Markets clients have reported that the platform demanded payment of taxes before withdrawals could be made, that withdrawals were denied once clients’ trades profited, and that withdrawal requests have been under review for more than a month without success, among other things.

Bottomline

These negative client reviews reflect misconduct on the part of ETO Markets and may pose a potential fraud risk to investors. As BrokersView often emphasizes, licensing and oversight do not eliminate the possibility of investment risks and violations.

If it is true, as the client claimed, that ETO Markets steals client funds through fictitious prices, it will ultimately lose clients’ trust. BrokersView recommends that clients' reviews should be considered as a reference and caution should be exercised before deciding to deal with a forex broker.