by Valentina Pod
People who lost money while trading in Forex, due to their own ignorance, often tell others about the ‘dark side’ of the Forex Market. However, those things are not truthful at all, and the reality will contradict the false myths. Still, some impressionable newbies will believe every bad thing they read or hear about forex. In this article, we will reveal all or most of the secrets and myths about Forex, and tell you whether they are real or fake.
‘Forex Is A Scam / Gambling / Pyramid?’
We bet this myth will never die, even after a hundred years!. If you are a newbie, you may hear that Forex Market is like gambling at a large casino. In fact, trading Forex is much more skillful than gambling. It’s just a market like any other one, like the food industry, or the real estate market, etc. At the same time, many scammers come to the Forex Market to cheat people.
That is why this myth has perpetuated and appeared everywhere. Also, Forex is not a pyramid scheme either, because pyramid schemes don’t require any logic, or experience. In Forex, logic and some basic experience have paramount importance, and you won’t be able to make much money without those two key ingredients.
‘Choose Forex, Or Your Job (Not Both)?’
Many people consider that you’ll have to be glued to your computer monitor watching charts, or waiting for a signal to open a trade. Fortunately, it’s just a myth, and you can easily have your job, and trade on the Forex Market. This myth started online, because of short-term trading which does require the maximum concentration of a trader. Those short-term trading deals usually last only up to about 10 minutes each.
However, if you are a long-term trader, you will need just 5 to 10 minutes for checking your transactions whenever it is convenient to do so. Remember that there’s no guarantee that 24-hour trading will make you profitable. Statistics show that 90% of all traders combine their job, and their Forex trading successfully.
‘Every Forex Broker Wants To Deceive A Client?’
Although there are some scam brokers on the Forex Market, most Forex Broker companies do not want to deceive their client to have a small one-time profit. The benefits of such an approach are unpleasant for the client, and unprofitable for the broker. If you do have any problem with a Forex Broker, you can send a complaint to the regulatory authority in the country that you currently reside in.
Here Is A Short List Of Forex Regulatory Agencies
Belize – International Financial Services Commission (IFSC) China – China Securities Regulatory Commission (CSRC) Hong Kong – Securities and Futures Commission (SFC) India – Securities And Exchange Board Of India (SEBI) Indonesia – Commodity Futures Trade Regulatory Agency (CoFTRA) Latvia – The Financial and Capital Market Commission (FKTK) Malaysia – Securities Commission (SC) Russia – National Association Of Securities Market Participants (NAUFOR) Switzerland – The Swiss Financial Market Supervisory Authority (FINMA) The UK – Financial Conduct Authority (FCA), Financial Industry Regulatory Authority (FINRA), National Futures Association (NFA) Australia – Securities And Investments Commission (ASIC) Israel – Israel Securities Authority (ISA) Japan – Financial Services Agency (JFSA) The USA – Commodities Futures Trade Commission (CTFC), File A Complaint With CTFC In The USA
Something Else Important To Know
Obtaining a forex broker license is not cheap ($20 million without clients’ deposits). So, it’s highly unlikely that any broker wants to lose their money, and their whole business by deceiving their clients. Also, profitable traders (clients) bring profit to the broker (there are commissions and spreads). That’s why many licensed forex companies always try to develop a long-term, and high-quality, partnership with their clients.
Valentina Pod is PR Manager at Just Forex: https://justforex.com/start