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How to Identify and Avoid Forex Scams

  • Leader
    January 23, 2021
    Do you know the forex market is the largest financial market in the
    world, with over $5 trillion traded every single day? At the click of a
    button you can instantly trade on hundreds currencies, including the US
    dollar, Euro, British pound, Japanese Yen, etc.To get more news about WikiFX, you can visit wikifx official website.

    while the financial gains of trading the Forex market seem lucrative,
    it cannot considered easy. There are many unscrupulous people who will
    try to scam individuals through Forex trading scams. Scammers are always
    somewhere nearby, trying to steal your money.
      Forex scams often
    pitch “too-good-to-be-true investment opportunities” as a way of
    convincing you to part with your money. When you lack trading
    experience, swindlers will try to exploit your optimism, your fears and
    your lack of knowledge.
      How to Identify a Scam
      The most
    important giveaway of a Forex scammer is a guarantee of unusually large
    profits with little or no financial risk. Some of these offers may sound
    very attractive, especially to beginner traders. But if something
    sounds too good to be true, it probably is.
    Three Major Types of Forex Scams to Avoid
      1) Robot Scams
    Forex robot is a trading program which uses algorithms, or lines of
    computer code, as technical signals to open and close trades. Not all
    Forex robots are scams. For example, Forex robots can be built using
    Expert Advisors (EAs) within the popular MetaTrader suite of trading
      2) Signal Seller Scams
      Forex signal sellers are
    individuals who send out trade ideas which usually include a currency
    pair, direction, entry price, stop loss and target levels. Some signal
    sellers offer you trading signals, but only if you sign up with a
    specific broker. This means they may be getting a kickback from the
    broker, so are motivated to send you any trades for you to take
    regardless if they win or lose. Having said this, there are some that
    will want to keep you profitable so they can continue to receive their
    kickbacks from the broker, which acts as their payment for the service.
    3) Phony Trading Investment Scams
    are many adverts nowadays promoting phony forex trading investment
    scams and fake forex investment funds. In essence, a slick marketing
    message or salesperson will sell you on the phantom, or unverified
    results, of their forex fund. All you need to do is send them your
    investment and you can sit back and enjoy the returns. Of course, many
    people who send their money never see it again. The company says they
    have never heard of you and have not received any funds from you.
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