Well I just found out something very interesting and relevant to this strategy.
I noticed that today's USOil price based on the WTI Futures at Nymex was trading significantly higher than the Nymex price. So it is because of the rollover of contracts from December to January. That is fine but the position I have is taking a massive loss because FXCM's demo accounts allow for trading after the expiration date (due to an oversight at FXCM it seems). I have posted a transcript of a chat with an FXCM representative.
With FXCM
FXCM - Craig: Welcome to FXCM's Live Chat Support. Please give me a moment to review your first question.
FXCM - Craig: In order to assist you I will need to first verify your account
FXCM - Craig: Thanks, please give me a moment to look into this
FXCM - Craig: Our USoil product expired
FXCM - Craig: on Friday
FXCM - Craig: the current contract is the Febuaray one
FXCM - Craig: the NYMEX price you are looking at
Me I thought that maybe the case
FXCM - Craig: is still from January
Me: Thankfully I have only traded that in a demo account
FXCM - Craig:
https://www.forextrading.com.au/markets/cfds/oil/FXCM - Craig: If you look at the above link
FXCM - Craig: you can see our expiration dates
FXCM - Craig: today is the first day of the Feb contract
Me: OK I guess the next question would relate to this
Me: Oil has a monthly expiration (please see the tables below). Clients that hold an open position on the 'FXCM Expiration' will be closed at our bid/offer at: USOil: 22:00 p.m. GMT UKOil: 22:15 p.m. GMT NGAS: 22:00 p.m. GMT Which means the client will realise any floating P/L at the time it is closed.
Me: Shouldn't the positions have been closed according to that guideline?
FXCM - Craig: They were closed
FXCM - Craig: on Friday
FXCM - Craig: at the end of trading
FXCM - Craig: anyone holding a position
FXCM - Craig: would have entered again this morning
FXCM - Craig: Are you saying your demo position was not closed?
Me: yes
FXCM - Craig: please allow me a moment
FXCM - Craig: I see you opened the position at 10:15 on Friday
FXCM - Craig: after the cut off time
Me Its a script which trades the positions and will trade up until close of business UTC time
FXCM - Craig: Had this been a live account
FXCM - Craig: the trades would not have gone through
Me oh
FXCM - Craig: but it appears that the demo allowed trading after the cut off time
FXCM - Craig: there was no live pricing at that time
FXCM - Craig: I will bring up the issue with our demo tech team
Me: Is there a way to get the trades cancelled even though it is a demo account?
FXCM - Craig: unfortunately no, demo accounts can not be altered
Me: Damn. I am using it as a kind of proof of concept for some fellow traders.
Me: Can I safely say that these trades would have not occurred it was a live account?
FXCM - Craig: definately
FXCM - Craig: the first trades on the current contract
FXCM - Craig: would only have opened up this morning
FXCM - Craig: The best I can do
FXCM - Craig: is write you an email confirming a tech error on the demo
FXCM - Craig: or open up a new demo account
Me: OK could you send through an email?
FXCM - Craig: I will have it out to you in a few minutes
ME: Thank you
FXCM - Craig: No problem, we apologize for the inconvenience
Me: OK
