Is forex trading a scam?

Forex a scam? Is this a serious question?


From Wiki:

The foreign exchange market is the most liquid financial market in the world. Traders include large banks, central banks, institutional investors, currency speculators, corporations, governments, other financial institutions, and retail investors. The average daily turnover in the global foreign exchange and related markets is continuously growing. According to the 2010 Triennial Central Bank Survey, coordinated by the Bank for International Settlements, average daily turnover was US$3.98 trillion in April 2010 (vs $1.7 trillion in 1998). Of this $3.98 trillion, $1.5 trillion was spot foreign exchange transactions and $2.5 trillion was traded in outright forwards, FX swaps and other currency derivatives.

No, it's not a scam.

It's also not easy to do though, so tread carefully if you enter it.

Its not a scam..
but you can't operate or do forex from certain countries..

But its another form of gambling though if you are not smart to read between the charts.. Well, i can't =)

it is legal i made $10 last month from forex.

No it's not. In our country, even banks performing that transaction.

There's a lot of Forex Robot scams out there that trying to get your money instead of generating profits like they had promised .

Since Forex Automoney is a service that provide trading signals of Forex, it provides 3 type of signals: intraday, daily and weekly together with 18 currency pairs, somehow this also makes it very difficult to trade from home, especially for starters because it is a semi-manual and you must have at least a few familiars with currency trading (for it won't teach you anything about Forex trading) and the one who makes decision are you not the robot, so you have to be discreetly and quick. A service is quite easy to be mistook as scam if their customers doesn't know how to utilize it or just dissatisfied with the function.

(?)

No its a 24hour trading exchange used world-wide.

However, I have a feeling you mean the hyped up auto trading systems sold through the Clickbank market place? Which often promise huge returns.

In which case I don't know, however why not trial the service many of them allow you to use "play money" which is traded in the same way as if it were real money.

Then if your happy you can make the switch.

Just promise me you won't invest a single cent if you can't afford to loose it, no matter how good the prospect is.

Sam

Re auto trading systems and trading robots for 50 bucks - lets get real. If they worked , would you sell them for $50- of course not. They work in trending markets , when the markets go sideways they fail. End of story!

I would! Especially if I sold 1,000 a day/week/month/year. Sorry to say but saying the robots only work in a trending market shows a lack of knowledge of the market. Price doesn't dictate quality or use.

Forex is legit but there are a lot of scams including forex brokers.

Forex trading can be lucrative if you have adequate working capital and experience.

I am very glad to see other Warriors chime in and encourage anyone interested in trading Forex to prepare themselves and learn what to do before they risk one red cent.

While Forex trading is often presented as an income opportunity it should be viewed as speculation in the Foreign exchange market. Specualtion is defined by Merriam Webster as, "assumption of unusual business risk in hopes of obtaining commensurate gain".

All The Very Best,


Tony

No; it isn't, at all.

As Richard mentions above, it's actually been my father's full-time profession since before I was born, and I've done a little of it myself, on a very small scale.

Whether or not you have the right strategy to do it has nothing to do with whether it's "legit". It bears on whether you can make steady profits (like perhaps 2% of those who do it) or contribute to those steady profits (like the other 98% who come and go, constantly replacing each other).

Digging for gold is very different from selling shovels in the gold rush. I don't doubt that the proportion of people who are successful by marketing "forex products" is considerably higher than the proportion of people actually trading currencies.

Yes, absolutely - happy to offer some little tips, but be aware that to do it successfully requires a lot of education, training, practice, patience and discipline as well as some initial working capital (the last criterion varying enormously according to the form of forex trading attempted).


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 (very, very good writer)

(ii) "Beyond Technical Analysis" by Tushar Chande

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

(iv) 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.

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!

(ii) Try to get your advice and education, whenever possible, from people who are not selling/promoting anything. Can't stress this enough ... otherwise you end up believing all sorts of "plausible nonsense" with no underlying reality at all.

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 and know no better.

If you want to see some "non-indicator-based technical analysis", together with a little bit of chat about "what works", there are actually a couple of my annotated trades online, with charts here and here.

ask George Soros if forex is a scam

He made his billions in the currencies market.

BUT - nearly every automated system I have seen out there (from sites like CB) is BS. I am a programmer, and first got involved in building automated trading software over 10 years ago (after becoming a full time day trader for a while). These crazy forex "bots" I see out there would never fool an actual experienced trader. They use insane levels of leverage, are curve fit, often have huge drawdowns mid-trade that aren't shown, etc.

Besides the occasional "millionth monkey", anyone using them will not be in the game for long - and not because they retired rich.

Forex is not a scam. What you have to watch out for are Forex programs that do not perform as they should and those running the Forex Program will make money when you have a gain or a loss. By no means is it a scam, by there are forex scammer sites.

I've traded stocks, bonds, options, commodities and everything else for 40 years. I've NEVER been able to make consistent money in FOREX. I finally just gravitated away from it as there are so many other things that are just plain easier (for me) to do. Now days I trade indexes and options spreads almost exclusively. As far as I know there is not a single piece of robot software out there that works anywhere near as well as the hype. Alexa Smith gave the best advice in this thread, particularly about Joe Ross. Reread every word of it.

Thomas

BTW: alexa's post was golden for anybody wanting to get into systems type of trading.
Van tharp's book is excellent for system developers - don't let it's title turn you off!

My advice: Just Stay AWAY from any Forex Systems (AutoPilots)
I'm a trader, working many years, i lost many $, until i build my own strategy, later Forex became my unique income... you know how ? Spending around 16-20 hours a day, 5 days a week, for about 2 years... I never bought any Forex "Gold Systems" , and worked alone all my life...

P.S. FOREX is a play Game, you can make a lot of $ in 5 min. but you can loose ALL in 1 sec,

If you want to make money on FOREX, you need to know everything about all and everybody, If you cant do this, Just go to Nearest Casino, and have Fun there

BTW, if you wanna try, start from here, you can find a lot of Free System and you Can Learn a lot from them... forexfactory dot com

Not easy, for sure. Doesn't make money for you=scam?
BTW, I've seen a lot of forex robots that can be considered as "scam"...

No it is not a scam. However unless and until you have 10 grand you are willing to loose in education and initial buy in, save your money!

forex is not a scam. but you have to know there are scammers in the business and unless you know what you're doing, it'll always appear to you as scam.

No, it's not a scam.

Buy a ton of Libyan currency now and hang on to it till the oil starts flowing again. Bingo!

How can forex be questioned as a scam, it is a market used by banks and big cooperation to hedge and trade in. However, if you are just starting out in trading, I will advice that you avoid forex for a while. Learn to trade in other slower markets like stocks, and futures. Also make sure you learn risk management very well. I am not just referring to how much you place per trade. I am also referring to your whole risk management structure. This will usually make the difference between success and failure. Also you need to understand your psychology, are you a short term or long term person.

Forex trading is like any other get rich quick dream out there. If it sounds too good to be true, it often is...

Forex is ok if you are smart and able to figure out mid and longtherm trends and study world economic datas daily.

Forex is all about RISK-MANAGMENT.. most struggle and loose a fortune because of greed and a lack of self discipline.

i've lost a fortune for high risk profile clients and myself in 2001 with options and forex, leverage >30. 7 figure LOSS! lesson learned! i'am not trading anymore.

i prefer to be a IM now and sleep good :-)

Its not a scam even though there are different kinds of scams online but its very risky

Forex: Not even in the same hemisphere as a scam.

Forex Traders: Not scammers.

Forex Marketers: Some are scammers. But some aren't. I prefer to work with the ones who aren't.

To answer the title of the thread directly, the answer is "Yes", FOREX
is a scam, at least in the sense that if you don't own a FOREX brokerage
firm, you have a 5% success rate out of the gates.

My younger brother has blown over $80,000 (that's just what we know of,
could've been 2x as much...) in FOREX since 2005. He's 32, unemployed,
lost his commercial drivers license & recently had his bank account seized
by the IRS [100% True Story] and has nothing to show for it...

"Is FOREX a scam?" - Well, you be the judge

I heard this thing called "nasdaq" was a scam - can anybody confirm or deny? :lol:

Really though, forex is a MONSTER and HUGE compared to even the stock market

Def not a scam. I've over doubled my investment with forex so far in the first week ALONE - but it does help to have a good coach, just like with Internet Marketing

I tried the forex game like 2 years ago.. So far burned down 3k in 5 months. It's not a scam but you really need to know what are u doing there

Every business is a gamble if you don't know what you doing.

If it was a gamble, banks wouldn't use it to make their money.
And there wouldn't be such thing as a pro trader.

It's the biggest market in the world, just going prancing in there without any experience will get you burned just like if you prance into IM with no knowledge or experience, especially with paid traffic, you're sured to get burned.

Of course its not a scam. Its the currency market for god sake!

The Forex market is totally legit. To make money at it you have to follow a proven system. A lot of people don't have the discipline to stick to a proven system because they get emotional when investing.

What I like about the Forex market is how liquid it is and that you can trade almost 24/7. Like any market (stock, real estate, etc.) you have to do a ton of research, get the fundamentals down pat, and set aside money you can afford to lose before you get started.

I've got no strategies I can share with you because there's not enough room, nor do I have the time to type it all out. The key here is to do your own research and to make sure you educate yourself about the Forex market.

RoD

Some of the forex "robots" and strategies could be scams, but the forex market definitely is not. That's like saying the NYSE is a scam...

I love it when you find people to buy a WSO, are unwilling to learn or do something passively and expect a windfall. These are the types of people i think that are looking for a means to get free money. Then you have the type of people and this is the case with people to get into the Forex type thingies hoping to have the same measure of success someone else has had who knows the business inside and out... these are the people that are being scammed into thinkng they can walk into the business and walk away with tons of money doing virtually nothing. It does not work that way.

Even my wso which is set 'n forget involves doing work. If you feel scammed, get a refund... that is all you have to do.

Do you really understand what is your question?

It's really funny, forex is the biggest market on the planet with more than 3trillion dollars daily trading volume, it's the market that banks, governments, investment organizations etc. use to make the whole global finacial system moves. Whenever you buy something from another country even if you don't realize it a bank makes the convesrsion to your currency thru forex.

When saying that forex is a scam is like saying that the global financial markets are a scam (many believe that they are but this is not a discussion for Warrior Forum). And yes you can easily increase your capital multiple times through leverage (there are brokers who let you use up to 500 times your capital which means that with 1000$ you can move half a million) but it's much easier to lose your shirt literally in seconds.

Now about scams, anyone who promises you that you can multiply your capital consistantly without any risk is most probably a scam but you cannot say that forex is a scam is like saying money is scam...

Forex is no different to anything that involves money, learn about it, try it and only risk what you can afford to lose. Unfortunately Forex doen't have an iron clad 60 day no questions asked refund policy. :-)

not a scam. just good old WEALTH TRANSFER.

hint: the plan is not for the transfer to be to your benefit...

ps. but then, it is the case with most financial or governmental activities

most of people in forex trading want to double their money in short time while they are not educated , so we dont call this forex trading .. in forex trading first you must increase your knowledge for at least 2 years then trade on demo accounts and after that do real forex trading

Hi i have a good forexstars domain for sale if anyone interested send me a message for details

Hi,

To say that forex is a scam is like saying changing euros for dollars on the airport is a scam
It is not a scam, however there is a possibility to loose your capital that you are trading with if you are not trading properly.
I am new on forex and I have made some money.
As I said Forex as a market is not a scam, however I've heard of "forex brokers" that are scams. So before you start trading choose a good Broker which is registered and well known. You can use newonforex.com for more ideas before start trading.

Ragards,
Pete

I was surprise to hear someone thought that Forex trading is a scam. Simply put, it is foreign exchange training and the thoughts people have shared above hopefully have convinced you that it is not a scam. It is only some unscrupulous vendors who try to steal money from people that are a scam, but not Forex trading as a concept.

Forex trading is not Scam it's indirect method of earning. you should earn very fast and lot;s. However it risky. but the rules of business say "as much you take risk much you earn".

I traded for over 10 years - TRUST ME - it is NOT a way to riches - probability says you will more likely LOOSE money than make it. I am making far more from IM and WAY less stress than trading fx.

ps very few 'systems' work long term

Its not a scam but if you want to make serious money in Forex you need some serious money to start. I have not heard of more than a handful of people who earn a decent income that invested less than 50K straight up. One of my good mates was in this market for a long time.

In Forex you can also lose your money just as fast as you make it.

The forex market is definitely not a scam.
You gotta be kidding right?
We are talking about currency here.

Forex Trading Is Currently The Biggest Scam Out There For Individuals.

It implies that you must be more well informed than the legion of professional traders for the big banks and that you are smarter and have more knowledge and experience than them.

If you can do this, you can as well knock off Apple from the smartphone market with your new in your garage built iphone 6.

Good Luck!

What a strange question! You are effectively asking:

"Is buying one currency with another a scam?"

lol

It is a total risk. If you got lucky may be you can earn million dollars per day or if you are dumb then you can lose all your money. Go & first learn forex trading. A trial account will be very helpful.

Hey Nayyte,

No - forex isn't a scam.

It is a highly volatile, quick moving market though and because of the highly leveraged nature of it - it can be perceived as 'risky' if you don't know what you're doing.

What is really risky is putting your money into it with no education.

Hope that helps!
~S

If Forex is so then share market is also a scam.There is good and bad everywhere,Forex market have also/But it is not means that Forex is scam.If you can utilize your talent then you can get unpredictable profit from it otherwise "grapes are sour" .

It is not a scam. Just find a good reliable Forex Broker

Forex trading has a very steep learning curve and takes FOCUS,DISCIPLINE,and COMMITMENT in order to reap any sucess.

It's not a scam as everyone going overseas is some kind of forex trader when you exchange currencies. The important thing is to find the right person with good trading history to learn from and don't trust those robots online when you can't even see the "trader" in person.

What do you mean is it scam? Just because most people lose money doesn't make it a scam. There are professional forex trading outfits who run entire operations speculating and trading forex.

Obviously it's not a scam, but people tend to think so due to all kinds of automated bots and softwares that makes you thousands over night which most likely won't do a damn thing. Never tried one and never will. I am personally trading on Forex for learning purposes and because I have a passion for this market, politics and economy. It does require time to learn and practice as well and it should not be taken lightly as a lot of novice or inexperienced people tend to do. It definitely won't make you rich overnight. It does also require a solid investment if you want to make a living from it as well as focus, consistency and you have to be strong minded person. Those skills can be learned as well. People who think that this is gambling are just being stupid because it's not. Understanding economy and politics is not necessary, but it helps A LOT.

I do a bit of day trading, but stocks. I've never tried to get into Forex as the fluctuations can be nerve-wrecking. Whatever type of instruments you trade, this is not something for the fainthearted, it requires a lot of discipline.

No, it's not a scam. The problem is there are a million and one people out there that are selling products while convincing people they can become a day trader with just a couple hundred dollars invested. I tried for 6 months with 20k invested and I eventually stopped because I was only pulling in about $200 a day trading. If I wanted to run at 100k, I'm sure I could make $600 a day but that isn't worth it to me when I already run a business that is more profitable than that.

I say scam. After talking with a banking manager I know about it, he says picking forex is like guessing at the stock market. Almost impossible.

For sure it's not a scam. Have been "playing" with ForeX and also have friends that work in ForeX companies and all that I can say is that for sure it's not a scam / fake way to get your money

not all are scam but people like to take others people money

thats for sure bro