Mornach Trade TM

Risk Warnings

In the interest of providing our clients with the best possible trading experience, we feel it is imperative for all traders, regardless of their previous experience, to be as well informed about the execution risks involved with trading.

High Risk Investment

Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. Before deciding to trade products offered by your broker, you should carefully evaluate your objectives, financial situation, needs, and experience level. U.S. brokers must be registered with the NFA — you can verify their status via the National Futures Association. MornachTrade (and its affiliates) provides general advice and not personalized guidance. The content on this website does not constitute personal advice. You may lose some or all of your capital, and should never trade with money you cannot afford to lose. Consider seeking independent financial advice.

Market Commentary & Opinions

All opinions, news, research, analyses, prices, or other information presented here are general market commentary and do not constitute investment advice. MornachTrade is not liable for any loss or damage resulting from reliance on such information.

Internet Trading Risks

Trading via internet-based systems involves risks — hardware failure, software issues, unstable internet, or signal disruptions. MornachTrade cannot control or be responsible for these external factors. We maintain backup systems and protocols, including telephone trading options, to mitigate these risks.

Execution Models: No Dealing Desk vs. Dealing Desk

No Dealing Desk (NDD)

With NDD, brokers pass client orders directly to liquidity providers (e.g., banks or market makers) with a fixed markup — they do not act as counterparties. While promoting transparency and efficiency, NDD is subject to external liquidity constraints that may affect execution.

Dealing Desk (DD)

Under the DD model, the broker acts as the dealer and counterparty to client trades. This introduces potential conflicts of interest and market risk. Broker discretion may include shifting client accounts between DD and NDD models based on balance or strategy.

Slippage & Order Types

Slippage may occur during periods of high volatility or low liquidity (e.g., around news events or 5 PM EST rollover), causing execution at a price different from the one requested. You can mitigate this by:

To control slippage, use "Market Range" (Max Deviation in MT4), which defines a pip range you're willing to accept. Setting zero means no slippage; if unavailable, the order won't fill. Stop orders guarantee execution but not price.

Liquidity Considerations

Early market hours (e.g., shortly after open), holiday periods, or rollover times may exhibit lower liquidity and wider spreads, especially in exotic pairs like EUR/HUF, USD/ZAR, etc. Use advanced order types to manage these risks.

Additional Risks

Execution Delays: may result from technical issues, internet problems, or provider response delays.

Widened Spreads & Greyed Pricing: limited liquidity or provider disconnection can cause unusual price behavior, including non-executable quotes. MornachTrade reserves the right to reverse invalid trades.

Rollover Costs: Positions held overnight may incur fees. Spread widening is common at trade rollover times (~5 PM ET).

Weekend & Holiday Risks: Markets may gap from close to open, and orders submitted near close may not execute until Monday. Be cautious around these times.

Margin Calls & Liquidation: If your usable margin drops to zero, positions are liquidated automatically. In extreme conditions, your account may go negative. Use stop orders to limit losses.

Indicative vs. Executable Quotes: Chart quotes are indicative and may differ from real trading rates. Only rates on your platform are executable.

Mobile Trading Risks: Mobile platforms may suffer latency, order duplication, or unexpected behavior due to connectivity issues. MornachTrade is not responsible for communication or device-related disruptions.