Hi,
I short AIG (CFD trading was available on LiteForex) from 1.70 (eq.: trade ID: 34843964), on Wednesday, July 1, AIG announce a reverse stock split 20 to 1 from it's close 1.16 to 23.20, but instead having 0.54 cent gain by closing the trade before stock split (or more after price adjusted, because AIG still dropping that day), it's close out of my my predefined stop-loss margin, close on 18.37 and I had 16.67$ loss!
I've contact the dealer, but he/she doesn't understand about reverse stock split.
Question: How LiteForex handle this situation?
For reference:
- Our AIG trade on Zecco, adjusted stock number
- Our AIG trade on Alpari, close it at 1.12, automatically (trade ID: 24430628), also in my AIG trade on BroCo
-
Overheard: AIG's Reverse Stock Split - WSJ.com or any financial news about AIG reverse stock split
InstaForex also treat AIG reverse stock split in same situation with LiteForex, they assume that AIG increase 1724% in one day trading!