It only takes a few minutes on Google and I rapidly get to see a handful of Forex scams. Take this one for example: The company has bought Google ad space and their site shows on the first page of my search. The website reads "Guaranteed 200% Interest Per Month", Minimum Deposit: $5000, Maximum Deposit: $999,999, Investment Length: 30 days; Fast Withdrawals!" To the beginner Forex trader it seems fantastic. All I need to do is give away my money to them and I will quickly be generating 200% per month - cool!
If you keep reading you can see that they utilize a great deal of extravagant verbosity to clarify HOW they trade. They talk about "security" of funds and the "stability" of their company. On the 'About Us' page they flaunt headlines like "Reliability", "Professionalism", "Trust" and my own favorite "Process Ability". Below 'Process Ability" they will write: " Accurate prediction of reversal of exchange rates outflow by utilizing well-timed scrutiny of our department, collected news, the method of processing, and also positions' control in the course of fundamental and technical analysis;". It only takes 5 seconds of reading this site for a REAL Forex trader to see the scam. But to the unsuspecting person, who has heard of the huge potential in Forex, this sounds like a dream come true.
So how does the new Forex trader get around Forex scams and obtain genuine Forex products?
Initially, bear this saying in mind "If it appears too superior to be real, it possibly is." There is NO such thing as assured profits in Forex let alone an assured 200% per month. Forex can be VERY profitable but it is NOT easy and there is rarely weekly consistency. Always be cautious if you find a Forex company as well as automated Forex systems making such claims.
Secondly, investigate the company offering the opportunity. In the instance we talked about a minute ago, it just takes a glance at the firm's website registration to discover there are discrepancies in the story. The website was registered in July of this year but the company claims to have started in June. Also, they provide false business contact information in their site registration.
Never give up control of your money. In Forex, you ON NO OCCASION must have to give away your money to someone other than a completely legitimate Forex broker. If you choose to have someone administer your finances for you, you must still retain control of your money and your Forex account.
Talk to the individuals behind the Forex opportunity. Several Forex opportunities are totally genuine. If an opportunity is genuine the company will be more than happy to talk directly to you. Never invest in any Forex product without having contact with the individuals responsible for that product.
Does the company disclose the risks involved with trading Forex? Forex is a risky investment. If a company refuses to acknowledge that, they are misleading you. It doesn't matter whether you are considering a Forex managed account, an automated Forex trading system, Forex education, Forex trade signals, or any other Forex product. If they are offering you something to do with Forex, they MUST disclose the risks of trading Forex to you.
Don't let emotion get the best of you. There is something exciting about the possibility of making 200% per month guaranteed. This excitement often blinds people from reality. They want to believe SO bad that something is real that they overlook the obvious.
Forex is a genuine opportunity of investment. Numerous Forex traders make a substantial income doing regular trading in the Forex market. Nevertheless, don't permit yourself to get conned by the Forex scams that sounds almost unbelievable. Because they are! Use common sense and the tips I've provided above to avoid being the next victim of a Forex scam.