Why does forex have a bad rep? | Currency Futures


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Why does forex have a bad rep?

  #11 (permalink)

Philadelphia
 
Trading Experience: None
Platform: corded black telephone
Favorite Futures: ticker tape
 
Posts: 2,893 since Apr 2012
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I'll try to sum this up in as little words as possible. I very much do enjoy trading Forex but there are key differences than stocks or futures in the structure of how the beast moves. I won't touch the other subjects like the leverage, broker legitimacy, or types of traders because frankly if you do your homework you can get past these types of things. I won't even touch why the currencies move the way they do, you can research that on your own.

If you look at a Forex chart you'll see a hell of a lot of range formations with sporadic quick bursts to other levels. Most people who start out trading have no idea how to capitalize on this type of movement and don't have the know how to trade a range let alone a trend. They end up putting on a trade and a random move comes that takes them out. They don't understand that you can also profit from random moves.

That and occasionally you'll see a monolithic account changing move when a bank decides to unpeg it's currency without telling anyone.

R.I.P. Joseph Bach (Itchymoku), 1987-2018.
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