How to recognize a Forex Scammer ?

NenadX posted:
I cannot agree with that

Ok, yes, maybe if you are in a very early stage of your trading career BUT you are already a master trader, then it is logical to train others for a fixed fee.

But when you trade longer, you will eventually accumulate a capital that earns you $500k a month. At that point, you can't give a about $30k training courses, giving away your competitiveness for practically free.

So yes I should have added 'most probably' a scammer, but in any case we are talking 99.99% probability...

Who do you mean by a scammer here please clearly? Some broker or some person who simply haven't done any job yet on so many things? Care to share a bit more here? Usually you need to check out withdraw process as the first thing here.

Well, you should always ask for proves, friend. This is the only way to recognize a forex scammer. Nowadays there are a lot of forex trading platforms, and unfortunately, most of them are just scammers. Be very careful when you're choosing your broker. You have to choose the best platform, like Fondex Forex Trading https://fondex.com/, which has full transparency, ultra-fast execution, direct liquidity and the lowest commissions. When you will have more experience, it will be really easy for you to distinguish a scammer, but for now, be very careful, friend. Always analyze everything before taking any decisions, this is the basis of trading

thirdbrainsa posted:
How to detect a forex scammer ?

How do you detect them ?

For me, and i start :

#1 - Only backtest on historical data => we don't care at all
#2 - 'A line' as balance curve means that no loosing trades are closed...

What else ?

When someone offers 200% in a week tends to be a big red flag as well.

Professional4X posted:
They often show unrealistic gains with very little Draw Down.

For example:



Here's the link to the discussion on the above example.

https://www.myfxbook.com/community/trading-systems/arbitragefastscalper/1479797,1


Another example would be as follows:



And also...



And here is the link to the discussion on the above example.

https://www.myfxbook.com/community/trading-systems/goodmoney/1579642,4


Quite often a scammer will try to pass off a DEMO account as a LIVE account, but they will not be able to validate the account.
When pressed for the reason as to why they are unable to verify the account, they will typically use an excuse such as 'Oh I contacted myfxbook because there is a problem with their website....'

Couldn't do better. Thank you for such a detailed answer. Also, consider checking a website of the EA - it can tell A LOT about developers and company that made the software.

5astelija posted:
Anyone selling their 'expertise' instead of just using that knowledge for their own trading is a scammer.

There needs too be a line drawn between financial professionals securing uncorrelated revenue streams, and the instagram bot accounts that want you to send them BTC for 3000+%/month.

taylornorboge posted:

5astelija posted:
Anyone selling their 'expertise' instead of just using that knowledge for their own trading is a scammer.

There needs too be a line drawn between financial professionals securing uncorrelated revenue streams, and the instagram bot accounts that want you to send them BTC for 3000+%/month.

Yes, but I'd rather think this 'line' is more of a scale between those 2 extremes. Its much easier to appear professional and provide low quality, than appear unprofessional and provide high quality. This is why the former must be the majority on this site as well.

I have seen fully verified accounts with unrealistic gains are they legit or are they somehow faking it

https://www.myfxbook.com/community/general/read-this-before-investing/2082589,2#?pt=2&p=1&ts=21&o=2082589

I suggest you to read this threat .

FuYating posted:
I have seen fully verified accounts with unrealistic gains are they legit or are they somehow faking it

Some are definitely faked. How can today's results be even real if the connected brokers don't exist anymore (or seem to be faked (no reviews, no regulations and so on))? 😉
Let's have a look on the quote from an myfxbook support email I recently got to one of my questions:

Myfxbook Support <[email protected]> wrote:
It is possible (in theory) to buy your own MT4 server and edit the trading history.

Also, you can find a possible forex scammer with his/hers behavior on the internet. Just ask for something like a real proof or just say something looks suspicious to you, and you'll get huge fake profile attacks all the time, using their multiple fake accounts to spread fake news about you.
They also only praise their systems here and only spreading fake news, sometimes they also look like bot-texts: 100% copy/paste everywhere (and only on suspicious looking 'too good to be true' results), even on FPA they're now aware about it (see my screenshot attached).

You need an objective strategy with clearly defined inputs / outputs and solid risk management. Most of them fail miserably for the risk management aspect ... which means they end the game rather than trading. Risk management is even more important if you trade in highly leveraged instruments and do not follow a long-term buy and hold strategy when you only collapse.

I have always traded stocks, but I gradually started the day of trading and swinging with a forex spot. They switched to oil / gold CFDs after a bit and now only trade in ES (future S & P500). Forex allowed me to test the strategy I had already tested on a demo account with a small live account. I would need a lot more to do this with the future. The fees were higher on the commercial scene of course, but I negotiate on an asymmetrical strategy where the fees represent a tiiiiiiiiiiiny% of my earnings ... so I never cared too much about them. Use the same strategy for everything, including stocks.

The reason why people sometimes call it a scam or <a href='https://shuftipro.com/identity-verification'>Id theft</a> is that there are a lot of shy brokers and coaches (read: traders who have failed to market have dreamed of selling) when it comes of forex.

Scammers often don't have good websites and they don't have any verified accounts on platforms like myfxbook, forexpeacearmy etc.
Also scammers are going to say that they will make you rich really fast BUT YOU NEED TO INVEST NOW. And after investing they disappear or ask for more money 'to cover the fee'.

I think it is very easy to recognize when you enter your first deposit and make your first withdrawal.

Many scams in the forex market are no longer as pervasive due to tighter regulations, but some problems still exist.If the forex broker is commingling funds or limiting customer withdrawals, it could be an indicator that something fishy is going on.

FuYating posted:
I have seen fully verified accounts with unrealistic gains are they legit or are they somehow faking it

If you see accounts with None Verifiable/Regulated Brokers, Then it's fake.

There is no specification of liquidity providers.

Trader with regulated broker. Always check regulator website. Regulator regularly update scam broker list.

You need to look at the terms that are being offered and how effective they are.

Most of the time unregulated brokers are scammer. Customer review is also helpful to identify scammer.