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Common Forex Scams Online
Forex trading has become widely popular and a number of traders who were involved in traditional stock market trades have entered this market with the hopes of making money faster. One of the main benefits of trading forex online is the fact that less money is tied up and investors can enjoy returns at a faster rate. However, since many investors do not have complete knowledge of how the Forex market works, there are a number of brokers that take advantage of beginner traders and some schemes are out there hat will literally steal money from investors, never to be seen again. This is why it is important for all traders to be aware of the scams that are out there and to know what to look for when choosing brokers online.
As forex trading becomes more popular, more scams arise. Unfortunately, since the forex market is not regulated, many of these scams go undetected for long periods of time. Forex scams can take many forms and some can be very compelling and legitimate. There are three main scam s that traders should be on the watch for when they decide to enter the market.
The first are Signal Sellers. Since forex traders rely on signals, it seems as though there are signal services always popping up. These profess to be able to sell information that will help traders make the best decisions ad investments. The sellers will charge a fee daily, weekly or monthly for the service and very rarely offer anything that will help traders at all. There is no such thing as having special information in the forex market, so watch out for anyone trying to sell inside information. It does not exist.
Phone Investment Funds are another scam and these are very popular. They will promise an extremely high rate of return for the temporary use of your money in their forex fund. This is a Ponzi scheme and once funds are depleted, the companies usually close down and walk away with the money from investors.
The final scam to watch for is Miracle Software. There is no software available that will figure out how the forex market will work on a given day. Some companies try to sell this software for thousands of dollars and new investors often bite and pay the amount. However, it is strongly advised that no trader purchase software that claims to increase returns or guarantee profits.
Forex Related Articles
There's a lot that to know when it comes to Forex trading which is why WorldForex.org will continue adding articles and new information to this website on a regular basis. Please visit us and come back to our website from time to time for the latest Forex technicals, charts and other information.
June 20, 2017
When it comes time to start trading Forex online, traders will start by selecting a broker, which will facilitate the trades being conducted. One of the great names in the business is OANDA, a pioneering brokerage that has been operating since the mid 1990s. With this broker, traders will benefit from many tools, useful tutorials and other great perks that can make trading even more exciting and rewarding. The online platform was launched in 2001 and since that time, it has been a preferred platform for traders from all over the world.
The 1 Minute Scalping Strategy
June 15, 2017
Forex traders who have experience in trading will be aware of many different strategies and techniques that can help generate successful trades and profits. One of the common strategies that is used is the 1 minute scalping strategy. In regards to the Forex market, scalping refers to method of trading specific currencies based on technical analysis. Traders will have the goal of making a profit by buying or selling while holding positions for a very limited amount of time and closing the trade to earn small profits. Most trades with the 1 minute strategy will be held for one minute or less.
June 2, 2017
When new traders make the decision to start investing online, they will have to make an important decision to begin, which is selecting a trading platform. A platform is the software that will be used to send information between the trader and their selected broker. This software can offer a large amount of information including charts and quotes and it is also used to enter orders that will be executed. There are different types of platforms, such as local platforms, which are installed on the computer by the trader and web based platforms, that are run with Java. The advantage of a web based platform is that it can be used by any operating system, so it is accessible to more traders.
May 18, 2017
Forex trading has become one of the most popular forms of investing and since it can all be done online with ease, it is simple for traders to access brokers and conduct trades at any time. While the Forex market may seem easy to enter, there are many things that must be considered before trading. There is a risk involved and traders who enter the market with little knowledge or no information on proven strategies will have a difficult time enjoying any success. Here, we discuss some strategies that have been used over the years and continue to provide traders with the tools they need to conduct successful trades and start generating profits.
May 5, 2017
Investing in the Forex market can be quite exciting and there are many options that can generate amazing profits. Unfortunately, many traders enter the market without the knowledge they should have and they often make common mistakes that can lead to unnecessary losses. Making mistakes while trading is part of the learning process, but there are some mistakes that can easily be avoided. For those that are price action traders, there is not as much information available online, so common mistakes are often made because traders cannot find the right information to help them conduct these tyupes of trades. Here, we discuss the top three price action trading mistakes that are made.