There are many frustrations among forex traders and along the way many claims had become popular, although some of them are false or misleading. If you’re still learning about forex trading, you’re probably hearing some of these claims from false experts and in order to avoid being influenced, we would like to take them to the trash once and for all.
#1 Nobody makes money trading the Forex market
It’s easy to prove that there are forex traders making a living out of this activity. Some of these professional traders are active on YouTube, Twitter, and other social platforms, showing their live trades from time to time right from their brokerage platform. In addition, go to any broker site registered with a European regulator.
At the bottom of the page, you’ll see the percentage of traders losing money with that particular broker. Can you see a 100% figure with any of the brokers? Not at all. It’s true that forex trading is a challenging task and not everybody can make it but saying nobody makes money is not true at all.
#2 The forex market is completely manipulated
People must understand that financial markets are regulated. What do they mean about manipulation? A market is formed by buyers and sellers. Each of them has a certain amount of capital and can transact. However, some of them have a huge pile of money (banks, central banks, financial institutions, corporations, etc.) and as a result, they can influence the supply or demand for a particular currency.
In doing so, they have the ability to influence exchange rates, for a limited amount of time. No one can fully control currency and so far, all currency pegs had failed at some point. There is no evil mind driving prices up or down, just unsuccessful traders that constantly find excuses outside of themselves.
#3 Trading forex is just for experts in finance
One of the best ways to venture into the trading world is by starting with forex trading. Although some technical knowledge is required, you can learn everything by yourself, without having to get a degree in finance. Knowledge will be just one side of the equation. Building some trading skills will be the most challenging part and no degree will help you with that respect. Start learning on your own and don’t be afraid you won’t manage to understand some things, because you will if you’re committed.