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How to Avoid Forex Trading Scams in 2022

Paulsy

Well-known member
Beginners and uneducated traders are the most common targets of forex scammers. So the best way to avoid forex trading scams is to take your time, don't rush into decisions, and learn as much as you can. To avoid being a victim of forex trading scams, you need to ask the right questions and conduct your own investigation. Do not hesitate to ask yourself these questions before you open a forex account.


Is the broker regulated? and how trustworthy is the license?

Choosing a regulated forex broker is a major decision in your trading journey. The term regulated forex broker simply means that the broker's financial activities are monitored and supervised by financial regulators, whose primary objective is to prevent fraudulent activities and significant risks in the forex market. The regulatory broker ensures that the client's privacy is protected and the disclosures of financial information are accurate.

A visually appealing website does not guarantee that a forex broker is legitimate. The best way to determine whether the broker is regulated is to thoroughly examine the broker's website for certifications and look for online reviews. Check out this AximTrade review to find out how AximTrade sets itself apart as the most regulated forex broker.

It's also a good idea to check the broker's website to ensure that it contains accurate information like company history, rules and standards, regulations, certifications, and financial data. In this way, it is ensured that the forex broker abides by the set rules and standards and that they do not engage in illegal activities.

Is the client information is secure and well protected?

As technology evolves, cyber threats are becoming more common and phishing attacks are reaching new levels. Recently, major tech companies and financial institutions are having data breaches and client information is getting exposed online. Thus, it is highly important to check the security procedures when you register for a new forex account. In 2022, cyber security technologies are advancing tremendously and improving fraud prevention and suspicious behaviour.

Essentially, to avoid forex trading scams is to check the broker registration process and make sure the domain is secured and doesn't lead to suspicious redirection. Two-factor authentication is highly crucial to keep the account secured. Trusted brokers always provide high measurements for account security and strict rules, as they are legally obligated to follow these terms.

Is the broker offering automated trades and signals to guarantee profits?

Forex brokers who promise risk-free trading or say "make 80% returns on purchasing trading signals" are nothing but scammers. In reality, these promises are merely red herrings meant to distract traders from conducting necessary due diligence. Remember that a trustworthy broker does not provide any financial advice, trading signals, promise returns, or recommendations to its traders.

Forex advertisements that offer large amounts of gold as a reward for making deposits are another type of forex scam. It is also a red flag if a forex broker appears to offer automated trading done by a robot or algorithm that promises to increase your earnings. The purpose of these promises and gifts is to trick you into losing your money. Keeping yourself informed about this is one of the most important things you can do to avoid forex trading scams.

Is the broker providing analysis and educational materials?

Forex brokers with a solid foundation and well-established reputation are meant to protect their traders against Forex trading scams. Therefore, they provide access to educational materials, seminars, webinars, informational videos, and effective trading tools like indicators, analytic tools, economic calendars, and reliable news sources.

You can differentiate reliable brokers from scammers by observing the above factors, as scam brokers don't care about educating their traders. In contrast, a reputable broker will always keep you informed about the forex market and work in your best interests.

Is AximTrade Regulated and Legit?

Yes, AximTrade Pty Limited is regulated by the Australian Securities and Investments Commission (ASIC), AFSL no. 001294600. The AximTrade Group is regulated in various jurisdictions and represented by various entities.

AximTrade LLC is incorporated under registration number 328 LLC 2020 by the Registrar of Limited Companies, LLC registered by the Financial Services Authority of Saint Vincent and the Grenadines and by the National Futures Association (ID: 0539713). In Addition, the AximTrade Group is represented by Huntington Services Limited is an IBC registered in New Zealand, and is authorized as a Financial Service Provider (FSP) with license no. FSP6317469.

AximTrade provides a secure environment for financial investors and clients by ensuring industry compliance with the highest international regulatory standards and best business practices. The company provides a high level of protection of the interests of the general public and market participants. AximTrade applies the rules of client privacy and confidentiality of legitimate business transactions.
 

Polakandil

Well-known member
Forex world is a big market, there is thousands of broker offer service in the market for clients, not all of them are safe and secure, there are broker in problem, here choosing a broker is important for the trader, and the first to look for usually is about regulation, the broker must be regulated, I choose FXOpen broker actually already more than eight or nine years till now. This company regulated ASIC, Cysec, and FCA, and they so far provide good trading service, all withdrawn processed smoothly. when I face a problem, their customer support always assists to resolve the problem.
 

Vikrant Sanghvi

New member
As you can understand, fraudsters and scammers put a lot of effort into convincing people, which makes it a little difficult to spot them.
 

Whimsical

Member
Most of the scammers in trading are in the form of signal providers, so avoiding signals may escape you from scams. Moreover, as a trader you should make your own best signal with deep fundamental and technical analysis along with understanding forex charts.
 

Statoscope

Active member
As you might imagine, fraudsters and scammers go to great lengths to persuade individuals, which makes it tough to recognise them. The majority of trading fraudsters take the guise of signal providers, therefore avoiding signals may help you avoid them. Furthermore, as a trader, you should create your own best signal using thorough fundamental and technical research, as well as knowledge of forex charts.
 

geraldinemarsh

Well-known member
As you might know, scammers go to a great extent to persuade individuals, which makes it tough to recognize them. So, basically do not blindly believe in one-self, do your own research and educate yourself enough so that you do not fall for such scammers.
 

cici

Member
As you can understand, fraudsters and scammers put a lot of effort into convincing people, so make sure to do a comprehensive comparison before choose a broker

Broker comparison ss..jpg
 
It is true that scammers do their best to convince you to invest with them. For understanding legitimacy, it is important to do research so you don’t get fooled by them. Protect yourself and stay aware by looking out.
 

Polakandil

Well-known member
Sometimes people already beware and carefully step into the forex trading business when choosing the broker, however sometimes carefully step still face accidentally joined in a scam broker, there needs to be more consideration in investing money, spending money that affords to lose in risky business-like as forex, crypto or CFD trading which in the trading margin here trader possible to magnify profit but also higher risk.
 

Blockhead

Active member
As you may already be aware, scammers will go to great lengths to convince their victims, which makes it difficult to spot them in the act. Therefore, you should not blindly believe in anything and everything. Carry out your own investigations and educate yourself to a sufficient level in order to avoid falling for such cons.
 

schmutz

Active member
I think the best way to avoid forex trading scams in 2022 is first to learn the basics of how to invest in the forex market.

If you don't know what you're doing, you're likely going to get scammed out of a lot of money. If you want to do forex trading, then I suggest that you learn and be patient. I have been doing forex trading since 2005 and I can tell you that it is not a get rich quick scheme.

You need to do your research and be patient in order to make money in forex trading. If you are looking for a quick way to make money, then I suggest that you don't go into forex trading. The only way to make money in forex trading is by learning how the market works and being patient in your investing.
 

Astrogony

Active member
The forex trading market is full of scammers and don’t believe anyone blindly. Also, don’t get into the trap of signals as mostly they are fake. It is difficult to spot them so don’t do your own research and don’t ever trust anyone easily.
 

timothydanie

Active member
The scammers are everywhere in the forex trading market who simply want to rob you. Most of the scammers are either selling courses or signals so make sure you don’t trust anyone easily. You don’t need courses to learn forex; you can look for information on the internet and read books. And if we talk about signals, you don’t need them either; create your own signal by self fundamental & technical analysis.
 

Linsang

Active member
The only thing that can save you from a terrifying scam is your deep knowledge and awareness. So don't ever stop learning. Don't put your faith in everything you hear. Rethink your position before making a decision.
 

Hev_Leo26

Well-known member
Scammers almost always offer promises that are too good to be true. There's a popular one going around places like Whatsapp where a pretty female reaches out to a man and convinces him that she's making bank at a certain broker and he should deposit money as well. Of course, he winds up losing his entire investment, can't make a withdrawal, and then she disappears entirely.
 
I think those who have knowledge about the forex market and trading will never become victims of any forex scams. So the only way to identify these scammers is by educating yourself. New traders must be extra cautious as they are often targeted by such scammers.
 

Symphony

Member
You probably need to tell yourself that no shortcuts can lead to profits. If someone or something comes up with a guarantee of making profits, they are scams. You must not take a chance until you have performed enough research.
 
Deep knowledge and awareness are the only things that can protect you from a terrifying scam. So, never stop learning.

Don't believe everything you read or hear. Be sceptical. Anyone who has a working knowledge of the forex market and trading will never fall prey to any forex scams. Being aware of these con artists is the only way to avoid being a victim of one. Scammers are more likely to target new traders, so they must be super cautious.
 

skrimon

Well-known member
In this Foreign exchange industry, scams are everywhere and we know that more than anyone (who are constantly roaming in this industry in terms of sorting out our daily livelihood. And one thing that I've noticed a lot is that when it comes to Forex scams the first thing that clicks everyone's mind is about the broker! So, why let that thought hit you in the first place?

Do vast research while choosing a broker for yourself, check user reviews, and also if possible ask your trader or investor friends about their personal perspectives about brokers since they've most likely used multiple online brokers. As for me, before choosing AssetsFX as my primary broker, I also did the same!

Hope that you guys have understood what I really meant to say!
 

Heirloom

Member
Scams don’t tell you that they are scams. It’s you who has to see what they are trying to offer and whether it is possible or not. You may have to build trading experience to be able to differentiate between scams and genuine services.
 
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