And what trading org should I join? I'm a newbie so please enlighten me. Thank you!
2007-07-25 01:36:14 · 5 answers · asked by Dont_knowitall 2 in Business & Finance ➔ Investing
I don't recommend that you avoid Forex at all costs because it is dangerous or a breeding ground for scam artists and frauds. I think that you should do as your name implies.....realize that you do not know it all.....and continue your quest for knowledge.
I would recommend that you keep your wallet locked away and that you not invest a single penny into the Forex market until you know what you are doing. There are quite a few sources of very good free information on the net(http://www.babypips.com is one that I recommend).
Most brokers will allow you to set up a demo account with which you can actually participate in the Forex market using virtual dollars and not risking any of your own hard earned money. This is a great way to learn the mechanics of the market and to actually experience the volatility and nuances of the Forex arena.
Lastly, there are foolish ways to trade in the Forex market which will assure you to quickly lose your money. And there are conservative ways to reduce risk and generate a comfortable, consistent return in the Forex market.
If you are expecting a 50% return in 2 weeks you are sadly mistaken. If you are comfortable with the potential of generating consistent, conservative returns of 4% to 8% per month then you are studying in the right place.
There are quite a few people that have lost their money in the Forex market because they did not take the time to learn or they wasted their money by falling for late night infomercials or they entrusted their money to someone else to trade for them ...... there is no reason that you have to fall into the same trap.
I wish you great success.....and I caution you to take your time.
Paul
pupp52@yahoo.com
2007-07-25 03:33:20 · answer #1 · answered by Anonymous · 0⤊ 0⤋
As you can see - most responders are advising you not to trade foreign currencies. As an alternative, there is a bank that will allow you to open a CD in a foreign currency i.e. the Euro, Pound Sterling etc and get a great rate of interest. Minimum $10,000.00 investment.
If the currency appreciates then you get the benefit when you convert back to dollars. If it doesn't, at least your money is earning interest.
Also you are not leveraged!
2007-07-25 12:59:28 · answer #2 · answered by rarguile 6 · 0⤊ 0⤋
2nd opinion -- RUN !!
Far too many forex 'trading' operations are frauds or scams. Way too many operators pump ideas that they know or should know will not work. Some of them even take the other end of every 'trade' you make -- because they are confident you'll lose, lose, lose.
For details, see related questions from other folk and the answers posted by myself and other veterans who've already lost money trading something.
2007-07-25 08:45:29 · answer #3 · answered by Spock (rhp) 7 · 0⤊ 0⤋
The first thing you should know is that it's a very dangerous arena to play in! This is a totally unregulated market! NO SEC NO NASD AND no central banking oversight! The next thing to consider is that LARGE BANKS CONTROL the currency markets! So tread lightly, go slow, and never put all of you eggs is this basket! It will be costly! GOOD LUCK!
2007-07-25 08:48:45 · answer #4 · answered by da_zoo_keeper 5 · 0⤊ 0⤋
What you really need to know is don't do it! Not a real sound idea at all.
2007-07-25 08:41:42 · answer #5 · answered by Anonymous · 0⤊ 0⤋