Hello and help me, no physical or scam, but??

by devonm
7 replies
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Is Forex for real? I hope so. Someone says it is all a scam. I hope not. I have made ok on a Forex, lost .59 cents, but made it back to-.22 cents. I don't know if it is real or not. Any statements?
  • Profile picture of the author ito
    forex is about risk-reward ratio ... minimum you should try for a 1:2 risk-reward ratio...
    If you took a forex course, off-course it will speed up your learning curve...
    If you prefer minimum effort and don't bother about the technicals... then i suggest you join a forex membership site who offers copy-trade or use a EA forex robot...


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  • Profile picture of the author Alexa Smith
    Banned
    Originally Posted by devonm View Post

    Is Forex for real?
    Yes.

    Originally Posted by devonm View Post

    I hope so. Someone says it is all a scam.
    It isn't. It's a fundamental and essential part of international trade and economics.

    It's also how my father has been making his living since before I was born, and even I trade a little.

    A small minority of forex traders make very consistent profits (some of them for decades), and are effectively subsidized by the masses of others who depend on inaccurate information mostly gleaned from people with direct or indirect incentives to promote things that don't really work.

    Here's some food/resources for thought, if it helps ...

    Recommended website:
    Joe Ross's site. There's a forum there, too (or there used to be, anyway).

    Books:
    (i) "Trading For A Living" by Alexander Elder (good writer - has some very weird views about indicators for a man of his intelligence, but parts of the book are really very good, especially the parts about "trading psychology" - he's a psychiatrist)

    (ii) "Beyond Technical Analysis" by Tushar S. Chande (completely reliable)

    (iii) "Trade Your Way To Financial Freedom" by Van K. Tharp (completely reliable)

    (iv, and best of the lot) Any books by Joe Ross (expensive) - don't be put off by the fact that all Ross's material/teaching/books isn't specific to forex - it's all about charts, and forex charts are just like any other charts, except safer to trade because their markets are far less subject to manipulation than most.

    All of the above are incomparably better than any information you'll readily find online.

    Two key concepts:
    (i) Don't listen to anyone who tells you that "technical analysis" is based exclusively on "indicators".

    It's what almost all people going into forex trading believe, and it's what the entire forex marketing industry has an incentive to get everyone to swallow, and it's nonsense.

    It's forex's equivalent of article marketing's "duplicate content penalty", and you have to see through it, to get anywhere at all!

    In fact, if anyone tries to tell you that, you'd probably be well advised, on general principles, to ignore any other "information" also offered by the same source.

    The worst form of attempted automated indicator trading are things called "Expert Advisors", a form of "trading alerts" made for a platform called "MetaTrader" which is what some home-based traders try to use. (These are the people effectively subsidizing the tiny minority of professionals who are actually making a very good living!).

    (ii) Try to get your advice and education, whenever possible, from people who are not selling/promoting any services, and especially nothing to do with "automation" or "robots" or "EA's". Can't stress this enough ... otherwise you end up believing all sorts of "plausible nonsense" with absolutely no underlying reality at all. That's just as silly as taking SEO advice from people selling "SEO services" - and it will have exactly the same result, too: "Education 0, Income minus 1" is the well-known result I refer to!!

    It's just like affiliate marketing, in one way: if you look in forums, you'll naturally find far more people who are making a living from "selling information to beginners" than there are people making a living from actually doing it themselves. Be aware that there's probably 50 times more "misinformation" than "information" out there, about forex trading. Some of it broadcast by people selling things, and some of it just believed and propagated by gullible/hopeful market participants who lack experience, know no better, and simply repeat what they've heard. (Just like internet marketing, really.)

    .
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    • Profile picture of the author candoit2
      Originally Posted by Alexa Smith View Post

      Yes.



      It isn't. It's how my father has been making his living since before I was born, and even I trade a little.

      A small minority of forex traders make very consistent profits (some of them for decades), and are effectively subsidized by the masses of others who depend on inaccurate information mostly gleaned from people with direct or indirect incentives to promote things that don't really work.

      Here's some food/resources for thought, if it helps ...

      Recommended website:
      Joe Ross's site. There's a forum there, too (or there used to be, anyway).

      Books:
      (i) "Trading For A Living" by Alexander Elder (good writer - has some very weird views about indicators for a man of his intelligence, but parts of the book are very good)

      (ii) "Beyond Technical Analysis" by Tushar Chande (completely reliable)

      (iii) "Trade Your Way To Financial Freedom" by Van Tharp (completely reliable)

      (iv, and best of the lot) Any books by Joe Ross (expensive) - don't be put off by the fact that all Ross's material/teaching/books isn't specific to forex - it's all about charts, and forex charts are just like any other charts, except safer to trade because their markets are far less subject to manipulation.

      All of the above are incomparably better than any information you'll readily find online.

      Two key concepts:
      (i) Don't listen to anyone who tells you that "technical analysis" is based exclusively on "indicators".

      It's what almost all people going into forex trading believe, and it's what the entire forex marketing industry has an incentive to get everyone to swallow, and it's nonsense.

      It's forex's equivalent of article marketing's "duplicate content penalty", and you have to see through it, to get anywhere at all!

      In fact, if anyone tries to tell you that, you'd probably be well advised, on general principles, to ignore any other "information" also offered by the same source.

      The worst form of attempted automated indicator trading are things called "Expert Advisors", a form of "trading alerts" made for a platform called "MetaTrader" which is what some home-based traders try to use. (These are the people effectively subsidizing the tiny minority of professionals who are actually making a very good living!).

      (ii) Try to get your advice and education, whenever possible, from people who are not selling/promoting any services, and especially nothing to do with "automation" or "robots" or "EA's". Can't stress this enough ... otherwise you end up believing all sorts of "plausible nonsense" with absolutely no underlying reality at all. That's just as silly as taking SEO advice from people selling "SEO services" - and it will have exactly the same result, too: "Education 0, Income minus 1" is the well-known result I refer to!!

      It's just like affiliate marketing, in one way: if you look in forums, you'll naturally find far more people who are making a living from "selling information to beginners" than there are people making a living from actually doing it themselves. Be aware that there's probably 50 times more "misinformation" than "information" out there, about forex trading. Some of it broadcast by people selling things, and some of it just believed by gullible/hopeful market participants who lack experience, know no better, and simply repeat what they've heard. (Just like internet marketing, really.)

      .
      My observations are that indicators from the beginning are developed based off false information and therefore can never be considered reliable or consistent.

      In the beginning I set out to reverse engineer the market. Also, I observed charts and watched them for hours just like others watch tv. Recording video, taking hundreds of screen shots and going back to analyze.

      What I saw was that if you look in past history, you can see what appears to be patterns that show a great trade.

      The problem is you watch for that trade and take it, only to see it didn't work out.

      That is because the charts shift over time, so the real set up was actually 9 bars back etc. (Not giving a magic number, there isn't one..just an example)

      Also, say you are using an indicator, and it is one color or length, it will change color, or even shorten or lengthen over time.

      So you can't look back and see what happened, and then base what you should do upon what is showing on past history.

      I believe all indicators are based on that false info though.

      So indicators and bots trading off them will always be essentially guessing. You can win at guessing, but not long term.

      Stay away from bots and indicators IMO.
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  • Profile picture of the author BWHadam
    its too risky, I would recommend to go with it.
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  • Profile picture of the author Chosen2013
    Forex is risky, I wouldn't try it myself.
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  • Profile picture of the author Tibi Selejan
    Why not try?
    You can find ''minor'' brokers that let you trade with as little as 1USD to begin with. Of course you will be making or loosing pennies but at least you give it a shot.
    I would never recommend opening a demo account because you will never take it seriously. This way, even if you only have 1 dollar invested, you still have a psychological tendency to protect your ''investment''.
    It worked for me and now i live off this stuff.
    It's 1 dollar for f*** sake...
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  • Profile picture of the author squidface
    Banned
    you lost 59 cents...????????

    does that concern you? Then best go and get job and stick your money under your mattress.
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