To open the eyes of traders who are still learning about forex, I will share with you about various wrong assumptions about forex trading. This usually tends to be covered up, especially when those who introduce forex to you are the marketing force of local forex brokers or seminar teachers. They will definitely hide these important things for their own benefit. With the existence of this article, my hope you become more understanding what it is like forex. Make sure you understand the risks of forex, before you actually decide to jump into the forex business. Here are some common views that are wrong about forex.
You can get rich quick with Forex Trading
This is the main reason why so many people are interested to learn about forex. I myself am one of them. This is the reason why I used to attend a seminar for 8 million rupiah. You may also often hear the success stories of traders who managed to earn profits with a fairly large amount only in a relatively short time. But believe me, forex will not make you rich suddenly. Indeed there are many traders who managed to double their money in just a month, but look what happened a year later. Can he continue like that? Getting a profit of hundreds of percent or even thousands of percent in a month is possible in the forex. But the most difficult is to get a consistent profit. And this usually takes a short time.
Leverage has the potential to generate greater profits
I am sure you who have learned a little about forex to know that one of the advantages of forex is the existence of leverage. Leverage means increasing the power of our transactions as traders, where only with a small amount of capital, we can get big profits. But remember, the higher the leverage means the higher also the risks. If we can generate a 30-50% profit within a few hours, this means you can also lose 30-50% in just a few hours.
Forex is not the same as Gambling
Much literature says that forex is not the same as gambling. Actually forex and gambling are not the same. But many people do not understand what kind of trading is called forex is not like gambling. Differences forex with gambling is very thin. Just because it has mastered some indicators alone does not mean you do not treat forex like gambling. There are many people who do not treat forex like a business.
Forex Trading Can Be use by Everyone
One other misleading science that is taught when I attend seminars is forex can be done everybody. Even the teacher said his seminar mothers who do not understand computers can really make money in forex. In fact, forex is not for everyone. Not everyone fits into a forex trader. To be a good trader requires certain psychological, personality and abilities. So if you do not feel like matching with forex, that is not a shame. Like any business, not everyone is compatible with a particular business.
Demo Account is for beginners only
One other wrong assumption is Demo Account is only used for beginners only. Lots of forex traders who feel prestige, and feel ashamed to use a demo account. As a result in the forums or in the community, they seem to want to show that they are already using a real account. In fact, many professional traders are still using demo accounts to test their system. I think the demo account remains important for the trader no matter how good the trader is.
The things above are the assumptions of the wrong people about forex trading. These things do seem to be hidden against prospective traders. After reading this article, you certainly can know more about forex trading. So make sure you consider first before deciding to become a forex trader. Due to being a successful forex trader it takes a strong mental.