Fraudulent and Misleading FX Profit Claims

I have been studying how to trade the FX market for about six years now and for the last 8 months I have been trading full time.

As you all know it is a long hard road to profitability but the last couple months has shown light at the end of the tunnel with the help of an excellent Trading Coach using a realistic approach to trading.

However, I couldn’t help get extremely annoyed and dismayed after receiving the following Video from my former Trading Coach at ForexMentor; http://www.youtube.com/watch?v=rqidnMwZGno

I think claims like these are irresponsible and should be absolutely OUTLAWED.

Here is an extract of thread from another site discussing this very issue. My apologies for the plagiary but I couldn’t have put better myself;

In the most recent YouTube video, Shirley Hudson banked 18,000+ pips in 6 months with only 1 losing trade. An impossibility in itself. If she is banking almost 36,000 pips/year at a 1% risk (lets say 20 pips of risk), this figure compounded after each completed trade, she would have made over $80 million in the last year !!! There is a hiccup in the RFP course. Shirley says "on one of her accounts". Does that mean she has more than one and she is using only the profitable trades in her samples ?? I keep seeing an MS Excel spreadsheet in the videos. How about the Detailed Statement from the MT4 platform to prove the results instead of a user inputted (created) spreadsheet ?? You can blot of the account number and any other privacy issues.

Any comments on this subject would greatly appreciated, as I hope I’m not the only one with strong condemnation's about this sort of BS.

Very misleading. For this reason, it is always a good follow up to say "Ok, prove it."

The proof is in 3rd party verification, myfxbook etc. Anyone can say anything in this business. However at the end of the day, 3rd party verifiers separate the "BS" from the rest.

Shirley Hudson continues to bait traders with self made spreadsheets touted by Vic Noble of Coaches Corner/Forexmentor.

In latest attempt to reel in more money Shirley has presented a created spreadsheet showing a win rate of 97% over 798 trades.

As usual, Shirley Hudson can only show results using her own made up stuff . . no verifiable, objective forms of proof.

Here's her UNBELIEVABLE spreadsheet:

http://screencast.com/t/2Ewimnzg440

Shameful.

You are spot on my friend.........

Unfortunately some people will believe anything and some people will say and do anything to separate money from people's wallets. The phenomenon of the Forex scam has expanded into non-brokerage services and if you ask me, the worst of the worst may be these phony baloney signal providers that prey on bad FX traders.

Those that can... do

Those that can not.... teach

Truth be told...........
If you have what it takes to handle both then I think that makes you exceptional....

I certainly believe there are some who can trade and teach.

Far more common is the "those who can trade, those who cannot teach".

Shirley Hudson has been (in her own words) trading CHICKENPIPS (read micros and minis) for much of her infamous self created spreadsheet's history.

Of course that is not disclosed. The traders who buy her training think they are learning from someone rich from her trading,

Over and over Shirley Hudson refuses to supply verification yet goes on making claims to make money for herself.

Is there any reason other than greed and ego to inflate one's stats like this?

Shameful.

Why would a perfectly successful trader that accumulated so many pips share such valuable information? Wouldn't they want to dedicate their time to profitable activities as opposed to selling their system at a "bargain basement" price?

There's so much snake oil in Forex it is discouraging. Gimmick signals, mirror trading, social trading, EAs, special indicators and "weird tricks". With all this out there, why on earth are 65.01% of American traders losing money!

It is like what former fitness guru Susan Powter said about fat-free and cholesterol-free foods being out there, why are people still fat if all of these foods are so ubiquitous?

Traders have to do their due diligence and learn on their own, just the way brokers need to vet traders and ensure that they would be profitable so that they don't have to experience churn and burn.

For me it is absolutely believable! - in some conditions
But that account is not mate to earn money, but to have in portfolio.

Here is how:
Take an Oanda account with 10$. Set the account maxed leverage to 1:10.

Go play with Eur/USD, but trade only 1 unit! - without SL!

1 lot (100k units) movement is 10$ for each pip.

So to loose 10$ with 1unit trade need 100k pip against you - and you would loose all your money ( 10$)

-to loose only 1% of 10$ it is 0.1$. That is 1k pip against you- and you have respected the MM rules. Go sell Eur/USD now, around 1.4 and you are stopped out at 1.5, once after 800 trades Even until moves 1k pips maybe you make 800 trades

It is easy, to make an account, like that, but it is not profitable.


I made once a 96% win:lose ratio, for around 200 trades max 400.

Also the Martingale systems will bring a huge draw down but a lot later: until that you are in profit and it looks nice