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Dangers of forex trading

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Forex trading is NOT gambling, and you should never trade with money you cannot afford to lose. This is the most important principle of Forex trading. Don’t trade on the Forex market with the rent or grocery money. ... The Dangers of Trading Forex have 578 words, post on at April 13, 2008. This is cached page on VietNam.

Weighing the risks and the benefits of Forex trading, it is clear that this particular form of investment probably isn’t for the most risk-averse investors out there. For risk-tolerant.

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Dangers of Using Forex Trading Robots People often fall for grandiose promises made by greedy developers, designed to lure you into buying software that simply won't cut it. Remember, if something is too good to be true, it probably isn't and that's something you should especially keep in mind when dealing with the financial market.

There are significant investment risks as currency fluctuations may move against you, causing you to lose money. Exchange rates are very volatile - they tend to move around a lot even within very short periods of time. Markets are open 24 hours a day 6 days a week (due to time zones), so you need to devote a lot of time to tracking your investment.

You could be in danger of trading noise when the forex markets have little direction. If your plan isn't working as it should be, it might be because you're trading at the wrong time. 4. Use stops and limits The fast-moving nature of forex means that stops and limits are highly recommended for every single trade.

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