Finding a Scam Free Forex Broker
As you venture into the world of forex trading, you’ll come across a lot of brokers that make a lot of promises. While some brokers can truly deliver, many others Forex broker scam offer only empty promises. Therefore, you need to make sure you work with a scam free forex broker. But how?
You need to do a bit of reading and research. In the United States, for instance, forex brokers need to be registered as Futures Commission Merchants. Scam free forex brokers should also be registered with the Futures Trading Commission. By working with a forex broker registered as they should be, your protection will be assured.
A scam free forex broker will also be honest with you where your finances are concerned. The broker(s) will know how to estimate the market, and will keep you updated. They will also give you the best advice for your needs.
Another factor you may want to take into consideration when trying to choose a scam free forex broker is the leverage. If you’re new to forex trading, you may want to avoid high leverage options. While the idea of your $1,000 investment being turned into $100,000 may seen enticing, there’s a good chance you could just end up losing all your savings. Therefore, if a broker tries to talk you into a leverage of 1:100, you may want to take your money elsewhere.
Additionally, you may want to avoid high spreads. The spread in forex trading is the difference in the buying and selling price. The bigger the spread, the harder it will be for you to break even. A good forex broker shouldn’t require you to try a high spread.