There are various opinions about forex, but some of them are misconceptions shaped by ignorance, bad experiences and scam sucker-bait addressed to forex newbies. You will come across absolutely contrary opinions when reading reviews on forex.
Forex is nothing else than hoax and swindlery!
This is one of the myths about forex that has been created by “expert’ traders who’d been cheated. It is possible to make a good bargain at forex, so scammers don’t miss their chance to do so. However, it is possible to avoid contacts with insecure intermediaries. Despite of common forex trading myths, choose reliable brokers, read reviews on brokerages, have a look through forex ratings, and remember, any conditions offered to you by a broker or a dealing desk have to be profitable as much as realistic.
Traders never earn anything, the result is always the same: loss of money! Or – you can get it all at once!
Both these allegations are groundless. Forex is not a casino, and it is not recommended to count on luck here. Once you come to trade seriously, you can count on a decent income, however, not at once, but after a serious several-months long training course.
Trading is related to huge risks!
Any business is risky, and forex trading IS a business. You can lose money you’ve invested into a store, a company, etc. Wouldn’t there be any risk, everyone would have become a millionaire. Should you get properly prepared to trading, you will already get your first profit during your first trading month.
Big investments are needed!
After forex trading has just emerged, trading was accessible only to the major financial institutions and to the well-heeled residents of the glorious metropolitan cities who used to smoke expensive cigars and had millions on their bank accounts. Currently you don’t necessarily have to live in NYC or Tokio to be able to trade forex; all you need is a computer and Internet connection.
Another myth about forex trading is that it is an extremely unreliable source of income!
This statement has absolutely nothing in common with the real state of affairs. Every day forex market witnesses deals on trillions of dollars. The major forex market participants are the most reliable and respectable banks, funds, financial companies. There’s hardly a more reliable market in the world; at that, reliability of a trader’s income depends completely on him personally.
Forex trading requires special knowledge and expensive training!
This is yet another delusion and another myth on forex; economics, maths, as well as other sciences won’t be of much use here. Only those who have a will to become forex traders can make it, regardless of their current occupations – a taxi driver, a janitor, a model, a school teacher… As for forex education, it is available, very often special training programs are offered for free.
Fundamental analysis is an approach to analyzing the markets by taking into account factors such as the social, economic and political issues...
To trade on a financial market, you need capital. Capital is used to buy an instrument if your analysis shows that its price could increase...
It's hard to beat the market but you can develop the skills that will help you to earn profit from your trades instead. Read the article to learn...
If you are new to Forex, you might feel overwhelmed by the crazy terminology. And one of the words you will hear the most is bulls. And there are also bears...
Discover 10 essential things you need to know about mutual funds. Types of funds and costs, benefits and risks, and how they differ from other products...
Looking at how people manage their personal finances can tell you a lot about them, their approach to life, their mindset and so on. That's why to be...
Learn how to use a protective stop loss order and what is a trailing stop to perfect your Forex trading skills and avoid unnecessary losses...
Risk management will play a major role in any successful trading plan. If you use a trading method that allowed you to be successful the majority...
The identity of Satoshi Nakamoto remains a mystery. Let's investigate and take a look at all possible candidates behind the world's biggest...