DMM FX has become the latest Australia based brokerage to experience some network issues after IC Markets was targeted by a DDoS attack a couple of weeks ago. Representatives have clarified to Finance Magnates reporters some issues which the company experienced in recent weeks.
While the company claims that the connectivity issues are “intermittent”, the number of client reports about the lack of access to trading accounts has been growing. Crucial data is expected to move the markets in the coming hours with the Federal Reserve’s rate decision playing a key role in major exchange rates as usual.
The login issues which some of the clients of DMM FX Australia have been experiencing are affecting the MT4 trading servers and the client portal on the website of the brokerage.
The company has explained how it is addressing the issues in a statement to its clients: “Please be assured that we are investigating and resolving this with the highest priority. There is no resolution time at this stage. We will inform once service has been fully restored. We sincerely apologise for any inconvenience caused.”
Frustrated clients of the company have taken to online forums sharing their experience with the service disruption which according to some posters has lasted over 11 hours at the time of writing.
With the bulk of the news flow in today’s markets coming in the U.S. session, the company still has some time left to address the disruption of its services.
Alternative methods to manage positions
While the possibility of high-tech electronic trading industry companies being bombarded with hacking attacks is a reality, a number of brokers have been awaiting disruptive events in order to implement adequate back ups. According to some clients of the brokerage the company is not offering a voice dealing desk solution which could be an antiquated but relatively safe way to provide adequate service to traders.
In an industry which has become increasingly reliant on internet technology, a number of brokers are not prepared for force majeure events or have plans on how to react in the event of a Black Swan outside of the market.
The challenges will likely remain in the future as the setup and maintenance of voice dealing is not something every brokerage can afford, especially at a time when Dealing Desks do not require the number of staff as they did in the past.
Solutions for traders
Regardless of the causes which are at the core of service disruptions, clients of major brokers can take steps to minimize their exposure to any unpredictable situations. Setting up stop loss and take profit orders is one of the key mechanisms which are in place to reduce the maximum exposure of clients and are crucial when dealing with margin trading.
