Almost each and every beginning forex trader who lost their money while trading forex thinks they have been scammed for money. Very few of them can actually face the truth and take a look at the situation at a different angle. Strange as it may seem, But such traders eventually succeed in financial markets and get rich trading them. Well, if you think for a while, that becomes quite obvious because such people aren't afraid of analysing the negative situation and drawing the right conclusions to avoid repeating those costly mistakes in the future. Those who learn from their own mistakes instead of repeating them over and over again, can eventually succeed in this business.
With that being said, let's assume that you are interested in forex trading and now you have decided to learn the ins and outs of this career opportunity. Probably, the best way to learn more about forex is to take an online course or consult a practicing trader who can already boast making good money in forex trading.
Apparently, not all of us can get this kind of an opportunity. Some people simly start searching the web for the right information but get incorrect information instead most of the time. Like many other careers out there, forex trading may seem like a riddle wrapped by a mystery. It's surrounded by tons of controversial and even fake information. We think that before you actually make your decision on starting you forex trading career, you need to know at least about the most widespread myths related to forex. That's why we decided to come up with this article telling you about those myths. So, without further ado, let's go ahead and dive into the world of forex myths.
MYTH #1: TRADING FOREX IS EASY
This is what almost all newbies think. Well, this can be true to some extent. Technically, simply buying and selling currencies online is not that hard. However, making money from doing so on a regular basis is harder than one might think. To make your forex trading profitable in the long run, you need to gain expertise. Simply put, newbies will have to devote a decent amount of time to learning and mastering the skills essential to profitable forex trading. And they will have to be patient since before they start enjoying consistent profits they will have to train hard for the sake of gaining that valuable expertise rather than making good money. Once again, the best way to kickstart your trading career in the right direction is to learn from the best. However, you should keep in mind that every successful trader has a personal strategy. You will have to develop your won as well.
MYTH #2: FOREX IS ALL ABOUT GAMBLING
Some people do really believe that forex is some kind of a casino topcasinoexpert.com where you can only gamble, without any serious moneymaking activities possible in the long run. Well, while you can really gamble when trading forex, it only depends on your skills and your approach to forex. In reality, an exchange can be treated as something representing an economy. Economies are driven by various events, and there is logic in that. Gambling doesn't have anything in common with logic, which means that if you try forex gambling, then that's amateurish and even foolish.
MYTH #3: FOREX IS A SCAM
This is probably, the most widespread myth. Many of those who failed, keep on saying that forex is a scam. This is not the case. Forex is a market where traders are responsible, or at least the should be, for the results of their own trading decisions, whether well through-out or spontaneous ones. Forex itself is not a scam., However, what you should really watch out for is the increasing amount of scam brokers and other kinds of scams selling you 100% winning strategies, trading robots, or offering you unimaginable trading conditions. So, please be careful when choosing which broker to go with and which strategy or trading robot to use.
MYTH #4: FOREX TRADING IS FOR THE RICH ONLY
Well, this used to be true a couple of decades ago when the forex industry was making its first steps. Everything has changed since then. Some brokers allow you to start with a couple of bucks after you have practiced enough on demo accounts and then on cent accounts. You are strongly recommended to open really full-fledged trading accounts and deposit substantial amounts of money only after you have been showing stable profits for at least several months. There are traders who managed to start with literally no money and progressing all the way up to making thousands of hundreds of dollars.
MYTH #5: FOREX TRADING IS SPONTANEOUS AND IMPOSSIBLE TO PREDICT
Well, this is obviously not the case! Financial markets are subject to price fluctuations, which they call market noise. However, those fluctuations are definitely not of spontaneous nature. The thing is that when you open a trade, there should be someone to match your offer at the other side. Millions of such trades drive the price up and down. It has nothing to do with spontaneousness. As for longer-term price moves, they are driven by political and economic events to an event greater extent. That's why they can be predicted and benefited from.
