Your Questions About Forex Trading Scams

kenspong answers:

First, you should know that Forex is not that easy. Do not believe those who may say it is!
There are some good robots that MAY help you. Some are scam. Others are for real.

Simply put, a Forex robot is a program that attempts to take the guess work out of trading currencies. Currently there is a lot of information floating around the internet about these products. Like any other tool, it needs to be used properly in order to be most effective.

Like I hinted, in order to use this tool the right way you need to understand a little bit about how it works and where it is best applied.

A Forex robot is a computer or computer program that monitors currencies and does calculations to figure out the best time to buy and sell. These programs help to take some of the guess work out of buying and selling and can help a trader to identify currencies that meet certain criteria, or when certain currencies perform in certain a way. Most of the selling points of Forex robots state that you can simply set them and watch the cash come pouring in. While in some cases this may work, in most cases you are going to need to carefully monitor the program and make sure that it is adjusting to trends in the market. While they can be very profitable they may require a certain amount of intervention to be run effectively. Used properly, and if you have the patience to get to know the programs, they become a powerful tool.

For this automatic approach, this website has worked wonders for me: http://www.forexapt.com/ – forex auto pilot turbo. It offers, among other features, high spread protection system and automated risk scaling. They say “95% winner”. Well, only the bottom line counts (you may be a “95% winner” and still lose money!). In this regard, it has really delivered for me.

I had been watching the forex robot market for months, waiting for the right software to come out. I believe I have found a great one.

All the best!

kenspong answers:

A forex (or foreign exchange) scam is any trading scheme used to defraud traders by convincing them that they can expect to gain a high profit by trading in the foreign exchange market. Currency trading “has become the fraud du jour” as of early 2008, according to Michael Dunn of the U.S. Commodity Futures Trading Commission. But “the market has long been plagued by swindlers preying on the gullible,” according to the New York Times. “The average individual foreign-exchange-trading victim loses about $15,000, according to CFTC records” according to The Wall Street Journal. The North American Securities Administrators Association says that “off-exchange forex trading by retail investors is at best extremely risky, and at worst, outright fraud.”

kenspong answers:

Forex is not a scam, its just very hard to play. And most people buy on margin or with leverage. And that is how you lose everything. You can really lose a lot. 98% of people lose money in Forex. I suggest sticking with stocks for now. Leave Forex to the professionals…at least for now.

kenspong answers:

I’ve been trading forex for almost 8 years now, I believe in proper Forex education than anything. If you really wanna make profits from Forex, learn it and trade it yourself. Experience makes you a better and successful trader. And no, I’ve never tried that piece of script that promises so much of gains in a month. But one of my friends did. Yeah, he did make a profit of about 80% in one trade, but he lost almost 90% of his investment in the other 6 trades. Script is still a script, it’s written by human based on historical data. More info, refer to http://www.squidoo.com/forex-robot-trading-system-scam/

Therefore, if you really wanna do well trading Forex, learn what Forex is, how Forex works, learn the charts, study the markets, and be brave to trade, remember high risk high return. You should get a proper Forex education like this http://www.squidoo.com/the-forex-kingdom-review/ rather than counting on a trading robot.

Good luck in pursuing your forex riches.

kenspong answers:

The Forex market is the largest financial market in the world with over $2 trillion traded daily.

The power of the internet has now made this market available to anyone, including you and me.

Unfortunately, the power of the internet has also allowed a number of scams that are looking to separate you and me from our money. This is true in many online activities … Not just Forex.

It is very important to get some good training before sticking your toe into the world of Forex. A very good free site that I recommend to all my Forex trading partners is http://www.babypips.com

I have been investing in the Forex market space for over 5 years. If used properly, it can be a very good component of a conservative, long term investment strategy.

Unfortunately, most people are lured to Forex because of the potential to make attractive profits. Due to the human natures of Greed and Fear they due not use proper risk avoidance and money management techniques.

The foolish person enters the Forex market looking for 50% returns in a week. The smart person enters the Forex market with a conservative goal of 5% per month.

Their are far more foolish people attempting to trade in the Forex market than there are smart people!

Which would you be?

Best wishes for your success,

Paul