The brokers do not take an oath to protect the traders from any harm. They may manage your money but they have their own set of interest in Forex. You will find many examples where these people were scamming their clients the entire time. They did not get a clue because they were very neat in their operations and they achieved the trust of their customers. Over the time, the industry has developed and more people are now trading in Forex. The Forex management works day and night to save you from any frauds but you have to be clever and know if the broker is working against you. There is not much information on the internet as they will try their best to hide their schemes but this article will tell you some things that may alert you. It is not necessary that they have to approach you with a higher spread or common signs to cheat you. They have evolved and new ways are being used to take your money.
Quality of trading environment
The quality of your trading environment is very crucial for your success. You can’t execute good trades in a low-quality trading environment. For instance, if you trade with a C grade broker it's very obvious you will experience requotes. Those who trade with a big lot will experience huge loss due to this slippage. Due to this very reason the experienced UK traders often goes for paid trading platform offered by the premium brokers. But thanks to Saxo, for offering a great trading platform like SaxoTraderGo for free. You can easily do extensive technical analysis and execute high-quality trades without any issues. So never compromise the quality of your trading environment to cut down your trading cost. Always look for the best service when it comes to Forex trading profession.
They show you fabricated price trends
The “fabricated city” is a popular movie but we are not talking about this movie. The brokers can invest their own ways to show you false price trends that are not at all true. It may seem impossible as you can check the trends anytime online but the traders do not have such thought in their mind. They are convinced by the brokers that they are bound to get the best services and they trust them. In return, they are being provided a trend that is fabricated with information that is also not true. The idea of double-crossing their own customers do not come into the mind of traders and when they realize the scam, it is too late. Never trust your broker blindly and always cross check what they tell you or provide. If they were so caring for you, they would not charge the spread before placing trades.
The pips in their chart are higher or lower than the market movement
The amount of profit that you make is counted in pips. If you find their signal always a little higher or lower than the real pip movement, they are surely cheating you. It is common in this industry and there are previous records were customers’ money was transferred in their own account by displaying false pip movement.
They deny you help or support
They are bound to give you services whenever you need. If they do not provide you with services and you are denied of any help, withdraw all the money you can close your account with them. They will hide information only if they want to deceive you. An honest broker is always transparent with the customers.
No clear policies, making withdrawal difficult
The policies are their strategies to make money off the record. If you find the policies not clearly written or explained, do not progress your trading with the broker. If they make it harder for investors to withdraw their deposit, they are clearly working against the traders.
<a href="http://www.condsd.com/">Herbew Fentos</a>