In Fx trading the bonuses we get from our trading brokers practically cannot use in a proper way due to many restrictions. So, we have to choose the regulated trading broker, otherwise it is useless to have 100-200% bonuses which cannot use in a proper way due to many restrictions.
You need to understand right away that bonuses are usually not real, but virtual money, which may be able to secure your capital. But this is not accurate. In addition, as far as I know, many brokers block the withdrawal with a bonus, because it needs to be processed and usually in a multiple amount. That is, you just can not manage your money and stop working with the broker, if you do not like it. So even if you decide to use the bonus, be sure to gather as much information as possible so that you do not find yourself in a hopeless or unpleasant situation.
Sign up bonuses are typically problematic. Often times there are additional trade rules applied to your account, and the profits from the bonuses are not always able to be withdrawn until you've made a considerable number of trades within a very limited time. And the fine print in the trading contract will typically have a clause which states they can remove the bonus at any time at their discretion without notice, or something very similar.
Brokers aren't stupid, they know inexperienced traders will probably act like it's free money, and then quickly blow their accounts. :)
General rule: NEVER TAKE A SIGN UP BONUS
Use effective risk management and invest wisely.
If it looks too good to be true, it's probably a scam! Let the buyer beware.
Bonuses are available only in certain countries (outside EU). There is a good reason why they are not available in the EU. If a broker offers a deposit bonus, it has to be turned over so many times that most people can't do it and when they ask for a withdrawal, the broker tells them that they can't withdraw any money.
Agree with all, I personally don’t take sign up bonus as it has lots of restrictions but I did try one offer called “Free Trades for 30 days” from turnkey forex. Saved all the commissions 1 month, tbh, I pushed more trades than expected in this period but it’s very good offer. It’s not for newbie nor for small traders since the minimum amount for this offer is $2500
Really, usually bonuses have a lot of restrictions, but such restrictions in good brokertage companies are applied only to bonus ammount, not for the trading account as a whole, so I don't see nothing bad if trader applies for account with bonus. Bonuses, as well as other loyalty programms (cashbacks, etc.) are the way how brokers attract clients and they're beneficial for both trader and broker. So that's bad idea to refuse bonuses, as that's the kind of free money, even with some restrictions.
Before trading with any broker of your choice it's better to fully understand the broker you are about to work with, their costs in terms of Spreads and Commissions as well as minimum deposit and withdraw as well as the time period processed for each financial activity you will be doing i.e. depositing and withdrawing. Happy trading in 2020. From Tanzania with love.
Financial Freedom through foreign exchange market is an obsession.
If a trader is not profitable then they will inevitably lose all of their bonus money along with any future deposits. So the obvious thing to do is get profitable first and then trade live. If you do that you will never need a bonus anyway....
Oghmage posted: Really, usually bonuses have a lot of restrictions, but such restrictions in good brokertage companies are applied only to bonus ammount, not for the trading account as a whole, so I don't see nothing bad if trader applies for account with bonus. Bonuses, as well as other loyalty programms (cashbacks, etc.) are the way how brokers attract clients and they're beneficial for both trader and broker. So that's bad idea to refuse bonuses, as that's the kind of free money, even with some restrictions.
i agree, noone i know has ever withdrawn a bonus lol, they make the trading requirements to do so, almost impossible, for this very reason.
I would definitely give up bonuses and other offers that sound nice, but in fact in the future impose you something that is profitable for the broker. But about the test with a small amount - it's quite reasonable, why risk a lot of money if you can try, look around and in the end not to worry about losing this amount if something goes wrong, because for you it's not a big loss, it's more expenses.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
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