Currency trading is often pitched to consumers as less riskier than buying or selling stocks, and more steadily profitable. In general, forex or currency trading is a big black box for small investors.
Those who get into it, taking the bait of offered by clever marketers, often find themselves trapped in a vicious cycle of loss making trades. The promised Eldorado never materializes. This leads them to reach the quick conclusion that currency trading is nothing but a scam. Here are some popular myths that need busting.
There are many investors across the globe who have been making a living and generating consistent returns from trading currency markets. Therefore one can expect decent returns by trading in currencies, but few things life come with a guarantee card.
There is a hard but interesting fact that one should know about trading in general and before investing your hard earned money in any risky asset class. Efforts made in right direction to understand the markets are one of the major decisive factors for your success in currency trading. Therefore forex trading is not a way to generate sure shot financial returns and it requires efforts too like any other business.
Just like any other business, the more borrowed money you begin with, the more difficult you make your money management and risk management. Therefore one should always try to begin trading with least or no leverage, to remain in the business longer.
Today we have a large number of websites or brokers abroad who claims to provide with the best trading services and highest leverage on deposited margin money.
But beware of such websites and online trading portals, as per RBI circular No. Therefore one must know that transferring your money to a forex trading account with a broker abroad is violation of Foreign Exchange Management Act FEMA , and may cause legal action against you.
Do it The Right Way. Forex trading is the easiest way to make money! Forex trading gives sure shot returns without any efforts! Brokers offering the highest leverage on your margin money are the best. RBI allows Forex trading with brokers abroad. Posted by The Finapolis Monday, August 10, 6: Comments are closed on this post.More...