Forex = legal scam

as for talking about god - well, theres the king of manipulation

This is my first post us a ticket for that. I find it funny that there are so many of you talking about the market being manipulated by "bankers" "government" "they claim managers" are whoever the hell they are.

If this is the case and it seems a lot of you believe so let's find out who's moving them and do what they're doing because somebody's making money and somebody's losing it I want to be on the side of the ones were making it. Keep in mind assist from a newbie who got in about four months ago and really haven't been trading very much even though I do know what it's like to get into a position on to get stopped out before it takes off. No biggie you win some and you lose some. I also know what it's like to pick the correct entry point and ride the trend until it stops all the while collecting the green.

But like someone said about midway down the page if you enter a trade and start biting your nails hoping for green you haven't done your homework and you haven't paid attention to the global scene that's driving prices. I don't know why people come to trading has a occupation /hobby / toy but for me it's because my disability has grown to the point of not allowing me to work a way from home anymore so finding something legitimate to do no matter how much studying preparation and time it takes as long as it pays off and I have become accustomed to it's just another job.

Will it be successful in the end nobody knows especially.

“You don’t have a soul. You are a soul. You have a body.” —C. S. Lewis

I think the OP may just not be cut out for Forex trading, which is fine. There are many other markets out there to try your hand at. I started off in commodities and found it to be pretty good for medium - long term trades which was great for learning. I think Forex is more of a short - medium term market really when you factor in the daily volatility and the rollover fees.

The title says it all, how can any scam be considered legal? Moving on, hope the op realizes that the market is just too big for any single entity or corp to manipulate it. Anyway wish the poster best of luck in trading.

IMO if any trader can't be successful in this business then they are responsible for that. Not the markets.

want to be winner?

what I find is either system is not good or you did not accept the rule of the system.

therefore, asking your self why you take the trade, is emotion got you? or you telll your self you must trade.

remember trading is a waiting game which is for people who are waiting for chance when condition meets.

forex isnt a scam...but it does perplex me sometimes why I cant get my ea to take a trade when on demo it takes it like no ones business. ..hmmmm......I do think some of its manipulated...Also, the market does seem to go all over the place at times. I see patterns that dont fit rational behavior..but; all in all in a cash based business...someone has to win and someone has to lose. Better you than me, I say.

The reality is that the overall prices are not manipulated. No one can, nor nobody would attempt other then Central banks.
But all participants follow the overall consensus of the quotes very tightly close. In one sense truly there is no rationality in the market.

But there is that "1 pip above the ask" and that "1 pip below the bid" in which every single Bank or broker plays with our orders.
Most of the time is form of delay to take that "last look". The sooner we understand it, the sooner we are in our way to make some money.

It is obvious that the sellers of crapola EAs like scalpers and so on want us to believe different. But the fact is that most commercial
EA are coded 100% to work in demos but not in the real market. It is also obvious that the seller will blame Brokers instead of admitting
there are deceiving the novices that do know not how the market works.

In regards that in this market someone "has to lose" and someone "has to win" is also a myth perpetuated by smoke sellers.
That is true for example for Binary options, spread betting and some other. But not for the exchange market. What many lose sight
that the participants ARE NOT all "speculators". The market is composed in a greater measure of non-speculators. Those that buy a currency
with purpose of converting it in a real asset or service.

J

You're better off with manual trading rather than depend on a program developed by a third party.
The only one making money out of an EA would be the developer, that's it. So take some time and review the stickies in the forum, along with other threads..and trade manually.

I'd say your your EA is enforcing a maximum slippage requirement - on demo where there is no slippage the EA trades; on live where there is lots of slippage the EA is pulling the trades

people don't treat fx like a business but more like a get rich quick adventure. YOu don't need to know anything to place a trade but the possibility to make a fortune is there from the start.
Soon people realise it's not that easy and the good sales-people will make money on the ones that look for an easy 101-beat-forex manual.
That's the fx-scam in my eyes

just my 2cents

If anyone thinks that forex is a legal scam then why are you doing it? The answer is simple that you are also making money but when you get a loss you start thinking like this. We are trading with each other and we often get swallowed by Big fish. So the best way is to limit your losses and try to do trading on smaller level and time frame.

Am i the only one spotted this cancer in this Forex community?

It seemed to me that after 730 days of dancing with Forex, you still have NOT learn anything yet, especially your shxt attitude towards this business.

Why not use the CME futures for trading Forex futures. Very Liquid.

If you are looking for a real scam check out Binary Option Scams

The truth is that RETAIL FOREX represents only 5% of the Whole FOREX MARKET.

Thus, it's easy for MARKET MAKERS to move a few pips against you, whenever they want and many other things that could manipulate the market in their favour. I'm not saying anything NEW here. Everyone here knows it, specially the 10+ voucher guys, but for some STRANGE reason they don't seem to tell this TRUTH very often. In fact it seems they try to avoid talking about it. Who knows why...

Your best bet would be to go the ECN router and/or Try Futures, the E-Mini S&P 500 contracts.

The liquidity is in the spot market. Where do you think Broker/Banks buy/hedge the currencies
to "sell you" a future??

J.

I agree in the 1/2 pips 2 pips max deal...
But can you explain a least one thing that market maker could do to "manipulate" "the market" in their favor??
I could be interesting to know.

J.

Sure, no problem, its a very long discussion, but I will try to resume it a bit.

As I said, RETAIL FOREX, represents ONLY 5% of the whole Forex Market, its a very small portion of the whole business.

Serious Traders use ECN Forex Brokers, and NOT Retail Forex Brokers. Unfortunately, 90% of traders in this forum are probably using a RETAIL FOREX Broker, since their ADS and Banners to join them are all over the Web... If you have luck, you will find 1 in 100 banners of the internet, belong to ECN, while 99 belong to RETAIL FOREX Brokers. I think its PRETTY Clear. Even a blind person, would figure it out.

Just do a Google Search for Forex, 95% of ADWORDS Paid Campaigns, belong to RETAIL FOREX Brokers, The Market Makers, who ONLY represent 5% of the whole Forex Business.

An ECN broker will charge commissions and not have a Dealing Desk like RETAIL Forex Brokers do.

With an ECN Broker, your order is passed directly to the market. Market Makers (Retail Forex) do not do that. If they did, then they'd be ECN's.

The term Market Maker refers to the fact that they make their own market. In other words, their prices are artificial, created by them, and not the actual prices of the market that you would see through an ECN Broker. That's why prices will vary from one Market Maker to another, because they're not actual market prices, but ones created by the broker for their clients.

If a Market Maker thinks you are too good a trader, then what they will do is put you on manual execution, which means that your orders do not get executed instantly via their computer system, but they go through a trader at their Dealing Desk who manually puts it through. This causes delays and makes sure that the Market Maker can take a position against you.

As I said, I would recommend that if you can, Trade using an ECN or you can trade the Futures Market instead of Forex, the E-Mini S&P 500, and/or use Retail Forex only for small mini/micro accounts that you use to develop your trading Skills. If you are going to do this on a serious Level and for a living, I would recommend joining Serious Brokers.

Just my two cents.

Hi MapleLeaf.

All of your 2 cents did not addressed my question. Instead just a lot inaccurate theory. Some even makes no sense.
For example saying that if I am a good trader A market maker would "make sure" taking a position against me. .
Why they would do that If I am a good trader??? . Do they want to lose?

Anyway,, my question was HOW they would manipulate the "market" in their favor???
I already said that "any" Broker would "play" their pricing in between 1/2 to a max of 2 pips, but that is not
"manipulating the market in their favor".

Some of your understanding of the market are inaccurate. In the forex market there is no "real prices" nor
"artificial prices". Forex is a des-centralized market, everybody quote as the please...it suppose to be compose
of hundreds of different quotes. If a Broker "quote" a price... that is the "real" for their clients.. thats it.
If you find a Brokers is constantly quoting more then 2 pips from another...that would be a big opportunity
to become a millionaire in no time. Unfortunately they stay with the "real Market" or ECN that contain hundreds of quotes. All of them between those 1/2 -1 pip that I mentioned.

No small broker uses the "dealing desk" as you described anymore... unless is Major Bank like DB, Citi, Barclay, UBG etc...because those are the "REAL" market makers. Usually set up to approve bigger blocks of units of currency.

The Market making is done in a different way now days. Basically most Brokers have adapted the Big Banks model.
They run algorithms with their managing software, the software decide if want to buy or sell according to the internal
codes, if they want to buy certain amount , they would "match" that amount to sellers order (a global amount not individual orders) if the "market" goes against them a couple ticks, they get out and replace their position with incoming buy orders or take out the nearby stops... all in between a few ticks. Basically they scalp with no losses.
.. So, yes, clients get screwed sometimes... but all between that 1/2- 1 pips or so. If they do more then that, they would get screwed by arbitration from clients, other Brokers perhaps their own liquidity providers.

I am not advocating the so called market maker Broker... but what I am trying to say that is not
as severe as most paint it to be. If someone try to win 1 or 2 pips with some idiotic scalp strategy or some
idiotic scalp EA you will always lose... so , just don't. But if someone lose 5 to 10 pips in a constant base,
that is NOT because of a MM broker... that is on the trader.

J.

This thread is sad and pathetic.

At least the original post is.



Just because you are trading the fakeouts doesn't mean everyone else is. Sure the majority do, but not everyone.

Only 4% of people who attempt it are profitable at currency trading and do so to make a living or partial living. Either keep trying or give up and be one of the 96%.