Ignorant people who suffer losses often tell you the dark side of foreign exchange. But these things are not true at all. Reality can argue with false myths. But some impressive beginners believe everything they hear. In this article, the Justforex team uncovered all the secrets and myths about foreign exchange and told us whether it was true or not.
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“Foreign exchange is fraud/gambling/pyramid.” We bet that this myth will not disappear in another 100 years. If you are a novice, you will hear that foreign currency is like a large casino about a million times. In fact, foreign exchange trading is more serious than gambling. This is just the same market, food or real estate market as other markets. At the same time, many swindlers come here to cheat people, which is why this myth appears. The pyramid is not a pyramid, because it does not require logic and experience. In foreign exchange trading, these are very important. Without them, you can’t make money.
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“Choose: Forex or your job”. Many people think you should pay attention to the monitor and wait for the trading signal. Fortunately, this is just a myth, and you can easily combine your work with foreign exchange market trading. This legend emerged because of short-term trading. This really requires the maximum concentration of traders. But the transaction is usually too short, 10 minutes at most. For long-term traders, it only takes 5-10 minutes to confirm the transaction. Remember, I can’t guarantee that 24-hour trading will benefit you. According to statistics, 90% of traders successfully combine their business with foreign exchange.
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“Any intermediary wants to cheat customers.” although there are indeed fraudulent intermediaries in the market, not all companies want to cheat customers to obtain one-time profits. The advantages of this method are not only unpleasant, but also small. If there is any problem, it can be reported to the regulatory authority. The following is a short list of regulators: Belize – International Financial Services Commission(IFSC) China – China Securities Regulatory Commission(CSRC) Hong Kong – Securities and Futures Commission(SFC) India Securities and Exchange Commission(SEBI) Indonesia – Commodity Futures Trading Authority(COFTRA) Latvia – Malaysia Financial and Capital Market Commission(FKTK) – Securities Commission(SC) Russia National Association of Securities Market Participants(NAUFOR) Switzerland Financial Market Supervision Agency(FINMA) UK Financial Conduct Supervision Agency(FCA), Financial Industry Regulatory Authority(FINRA), National Futures Association(NFA)
It’s not cheap to get a license($20 million without customer deposits). No manager can try to lose the money and the whole business. In addition, traders with high profitability will bring profits(commissions and profits) to brokers. This is why many card companies try to establish long-term, high-quality cooperative relationships with customers.
