How Your Forex Broker Makes Money
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There are heaps of Forex review sites out there that allow any user to post reviews. From the big boys like ForexPeaceArmy. These review sites can be pretty useful when it comes to buying Forex products. It is not the websites fault, for the most part the review sites themselves are unbiased. However, many of the users who leave reviews are biased or just idiots.
This is a ridiculous notion when you consider the big boy brokers make tens of millions per year. Trust me the brokers know the odds. They know most newbie traders are perfectly capable of blowing their own accounts. The newbies take care of the rest, taking dumb trades and losing money is what newbies do when I was a newbie I blew my first two accounts in a few weeks. So instead of taking responsibility forex currency trading forex brokerage online 112010 their own screw-ups they blame forex currency trading forex brokerage online 112010 broker for them.
This absolutely sucks for the brokers themselves. The whole concept of Forex broker review sites is flawed. I have used both those brokers for years and I have rarely if ever had a problem. When I do have issues the support staff are very helpful. For example, MB trading once even handed me the money back for a forex currency trading forex brokerage online 112010 that I took. Their price feed had a problem that day and it went higher than it was meant to go.
The trade ended up losing. I called up and they apologized profusely and gave me back all my losses. With reviews what happens is a bunch of newbies sign up with a good broker. Through their own mistakes they lose all their money. Then instead of taking responsibility they forex currency trading forex brokerage online 112010 negative reviews about the brokers performance. One of the most commonly used accusations levelled against brokers is slippage during highly volatile period.
It is the nature of trading, you do not get perfect fills when the market is jumping up 20 pips per second. What this all boils down to is that review websites are useless when it comes to broker reviews. Professional traders have been around long enough and know their stuff. For example here is my short list of good brokers:. I believe that Dukascopy has a higher rating for another reason. Therefore Dukascopy has 4 stars. So guys, my tip of the week…. Take Forex broker reviews with a grain of salt.
Newbies have no clue how to trade so they have no right to jump up on their soap box and tell the world if a broker is good or not. I should add that if the scam is very obvious then yes newbies should forex currency trading forex brokerage online 112010 others. I was a newbie once too and I always blamed my broker. I thought they had it in for me…. Click here forex currency trading forex brokerage online 112010 cancel reply.
Email will not be published required. I know a lot of peeps that love Oanda but apparently the charting leaves a bit to be desired, so most of them use MT4 demo accounts for technical analysis. I used GFT for a while too and found them excellent. Also forex currency trading forex brokerage online 112010 charts are slow to respond. I tried for 5 months to get it to run properly so I liked it a lot. I am with FxPro now and love it. It came highly recommended by profitable traders.
It did have a few issues on the initial release of Vista which I have to say was ridiculous. Vista was available in Beta for a year before it was released. I was very pissed of with GFT for that, I do not see how a company as large as that could not update software essential to their business. However, it seems with Windows 7 they got their act together as I was able to install and use Dealbook and I had Windows 7 on release day. The program itself is a little resource intensive and it is slow to react at times.
However, it does work for me consistently and I have been using it for roughly 4 years. Hi I think i am agree with that. But in your curse you talk about brokers stop hunting. What do you exatly mean with that? Had I not been a newbie I would have had comments to make about the attitude taken in this piece.
Since my view would be discounted I will not bother other than to add that although new to forex I have a wealth of other experience. Of course, brokers know the basic maths: For instance, MT4 is a platform that was designed to work in a dealing desk environment. Because a lot of newbies do not want to trade on another platform, companies like MB Trading had to modify the entire code of MT4 in order to get rid of the dealing desk back-office operation mode.
And spreads are not fixed spreads. For all forex currency trading forex brokerage online 112010 reasons, the new guys come in an give three stars to the good brokers. What, no love for FXCM? I completely agree with Nick.
Rarely do the rest of us, who are actually successful, give reviews on these sites. Those are having GREAT experiences with these Brokers, just keep trading; while those who had bad experiences, want the world to know. My advice, start with a Broker with a very small account. I have a feeling GFT guarantee their stops even during announcements. Can anyone support me on this, I am uncertain about it. This is nothing but a sales pitch. Although I agree with you, I do think that this is true about signal services as well.
Obviously there are a lot of scammers, but there are a few good ones among, but new traders over leverage, blow their account and blame the signal provider. I go along with much of what Nick is saying about reviews, but bad reviews based on customer service should be taken seriously.
Not getting your money returned on a platform error or long delays remitting money are inexcusable. Great customer service low spreads. Sir Nick, Thanks for the above tips about forex reviews where some traders try to shift blame to brokerage firms in attempts to cover up what obvious.
Trading is a game whereby a winner must emerge and the other at disadvantage. But I wonder what they stand to gain from such retrogressive attitude. Accepting responsibility is pathway to improvement not in trading but in all live endeavor. Personally am always ready to assume responsibility for outcomes resulting from forex currency trading forex brokerage online 112010 I took. I do hope my peer newbies contribute to reviews rationally.
Thanks for the sensible perspective. Their Dealbook is pretty clunky, however, which is a bit surprising for such a serious player. There are many other brokers with great reputations I will also try soon for alittle breadth of experience.
Thank you, Nick, for a brilliant article. I am not entirely new to trading although I am new to Forex. I am now at the point where I am looking for a forex currency trading forex brokerage online 112010 and after a few days looking at FPA reviews, I felt like I was getting nowhere except for a few reviews like the ones for Dukascopy and was getting more sob stories than the daily news would print in a gossip column.
Thanks again and forex currency trading forex brokerage online 112010 timing. Shout out too to MBT. Thanks for the posts and all the material.
My candles hardly ever look like yours. I can still trade them and get pretty good results. But in your opinion, does this put me out of sync with the trading fraternity? But do you have any thoughts on this? Thanks Nick for you observation on the subject of broker review. Very few of them will admit they loose because of their mistakes. I think the newbie traders are not significant enough to bring on a change in leverage. It is just an excuse to be seen to be doing something. All the newbies who are crying about their brokers and not taking responsibility for their poor trading are the ones who are influencing CFTC to take away the Leverage has already been reduced from Now they want to make it It sucks to be a trader in the US.
Thanks for posting the tips for forex broker review.