DINEO TSAMELA: No easy financial gains for an amateur trading in currencies
If you want to trade forex you need to do your homework, and you shouldn't trade with money you can't afford to lose
With the rise of Instagram traders and overnight billionaires, it's no wonder there's a lot of confusion out there about what forex trading is and how traders make money. Forex traders make profit by taking advantage of movement between two currencies. It's important to note that a movement between the currencies is in relation to each other. Forex trading is a lot more complex than trading equities. A lot of seasoned forex traders - who still make mistakes - recommend starting with trading shares to get a better feel for market dynamics. And forex scams, like the 2005 Leaderguard one in which investors, including many pensioners, lost R350-million, prey on those who are in the dark about the inherent risks in the forex products they were offered. If you want to trade forex you need to do your homework, and you shouldn't trade with money you can't afford to lose. Also don't expect to be, or accept being, spoon-fed by your service provider. The principle of forex trading is as follow...
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