abdulla1 Posted April 5, 2011 Share Posted April 5, 2011 Beware of Unrealistic Returns Trading forex generally involves a substantial risk of loss, as well as high potential returns. As a result, if any company you are considering investing with claims to be able to offer you guaranteed high profits by trading forex, then you would be wise to be suspicious of a potential fraud. Forex scams offering unrealistic returns will often play on an individual’s greed, in addition to their desire to earn lots of money without making much of an effort to do so. Although the offer of unrealistic returns tends to be a forex fraud red flag signifying a high risk investment, just because a potential forex related investment scheme does not offer unrealistic returns does not necessarily make it legitimate. Greed is a Weakness One of the juiciest carrots that scammers of all types use involves the promise of unrealistic returns that play on people’s greed. As a result, being greedy when considering your investment choices can play right into the hands of a forex fraudster. For example, returns of one percent per day, or twenty percent per month would generally be considered unrealistic investment returns when trading forex. Nevertheless, some scammers will instead offer far more reasonable returns simply to take people off guard. HYIPs Usually Offer Unrealistic Returns As the name implies, many so-called High Yield Investment Plans or HYIPs are guilty of offering unrealistic returns to potential clients. Nevertheless, they often basically consist of little more than forex related Ponzi schemes where the deposits from new investors go toward paying investment returns for existing investors until the scam eventually fails. Furthermore, many HYIP’s or High Yield Investment Plans can be discerned simply by observing their outrageous returns claims. Since they usually amount to little more than a Ponzi scheme scam, they just take in principal from new clients to pay out the high interest rates to existing clients until all the money is gone. Many people never see the fabulous profits their often forged account statements show. They eventually end up losing the entire amount of their investment, sometimes after having actually received some interest payments before the scheme fails. These unscrupulous HYIP companies often warn potential clients in their fine print, or tucked away on a hard to reach webpage, that investing money in the forex market could lead to the total loss of their investments. Unrealistic Returns Promised by Forex Software and Services Another type of potential forex scam involves vendors that promote automated forex trading software or forex signal generating services by claiming astronomical results from back testing the product over a certain time period. Often, such time periods are carefully selected and then the system’s parameters are optimized to show high profits with low drawdowns during that testing period. Also, while the system may indeed have performed well theoretically, it may not do nearly so well when exposed to rigors of a live trading environment when realistic factors like dealing spreads and order slippage are taken into account. Although increasingly sophisticated in their algorithms, forex trading robots and forex signal software still has trouble replicating the success of actual experienced human traders. A Forex Managed Account Fraud Scenario As an example, the way that the tantalizing carrot of unrealistic returns attracts potential targets in a forex managed account situation might work something like this: The scammer somehow convinces the mark that the scammer — through sheer genius and forex market savvy — has devised a fool proof “proprietary” forex trading system. The forex system — which allegedly consistently beats the market and has been proven by the scammer to make huge and reliable profits — has now been offered to the general public out of the seeming goodness of the scammer’s heart to share with the teeming millions who do not know how to trade forex on their own. Nevertheless, in order to take advantage of these huge returns, a forex managed trading account must be opened by the potential client and placed at the discretion of the company making the claims with a rather large minimum deposit. The unrealistic returns in this example play on two very base human characteristics: greed and sloth. A greedy disposition will make the proposition of receiving large amounts of money attractive while slothfulness will be attracted to not having to lift a finger to obtain these fabulous returns. Each weakness adds to the attraction of the “investment” to the potential forex fraud mark. Quote Link to comment Share on other sites More sharing options...
hyipreviewblog Posted May 18, 2011 Share Posted May 18, 2011 some company offer big profits to gain more member to join their program...or they use bonus to attract member to their program.... I think 5% is the best profit in forex for daily trading....if you got someone offer more than that it will be very risky to join... Quote Link to comment Share on other sites More sharing options...
reyah Posted May 18, 2011 Share Posted May 18, 2011 Well, I believe that in every transaction with money involves has a risk, Whether its for business or investment. In my understanding if you want to engage yourself in a forex investment you have to accept the risk on it. And to prepare ourself to face this risk we must be knowledgeable about how forex works, how to choose the best forex broker and know the do and do's about it. Quote Link to comment Share on other sites More sharing options...
giridhar123 Posted May 21, 2011 Share Posted May 21, 2011 A verynice info by thread starter.he is exactly correct and hyips offer unrealisticreturn like 120%after 5days but people join them having hope to earn in lesstime but 1%daily in forex can be earn easily as far we see site like macrotrade Quote Link to comment Share on other sites More sharing options...
indieover Posted June 13, 2011 Share Posted June 13, 2011 planning to earn a lot is okay as long as you have the skills to do that. but if you have not much experience and good strategies to realize that goal then we should have make only achievable goal and not too risk your money for the chance of earning more faster. Quote Link to comment Share on other sites More sharing options...
Nikhil Posted June 25, 2011 Share Posted June 25, 2011 Yes we have to beware unrealistic return from forex and if we have at a starting stage then it sure harm us because if we think so then will use high lot that will lead us to huge loss. i think its very good to move forward with small profit and small loss means always have to put sl and tp and when there will be more expereince and knowledge then its possible to earn lot. Quote Link to comment Share on other sites More sharing options...
andry777 Posted June 30, 2011 Share Posted June 30, 2011 I think it's not only in forex but in almost all kind of business. There are HYIP sites which offered same thing, gambling sites, and some other business. We must be careful with those kind of offering because there are some people who believed this kind of offering. Quote Link to comment Share on other sites More sharing options...
hyipreviewblog Posted July 6, 2011 Share Posted July 6, 2011 some people are so greedy so they just trusted people that offer this unrealistic offer on forex profits... most of them are new investor and still don't have good knowledge on forex... Quote Link to comment Share on other sites More sharing options...
antthenait Posted July 9, 2011 Share Posted July 9, 2011 Always be careful of thinking this topic, that untrusted or stolen card fund doesn't accept by AP, though LR can take all types of money like gambler or mlm. But we've to take care our limited fund. First of all : we need to collect proper information about the past track record of the broker. If the broker come from black list section - mean previously banned or restricted then you may go ahead with your own risk. Else genuine real money should be better for fake-high. Ex:- If any fund will come from untrusted source or stolen money then there will be a chance of 90-100% reverse, or give an warning. So be careful of thinking any broker. Quote Link to comment Share on other sites More sharing options...
hyipreviewblog Posted July 14, 2011 Share Posted July 14, 2011 Even this unrealistic offer come from good brokers, we still need to think about it cause in forex market no one can predict how much he/she can get in a day trade. So if I will give an offer I will only give the minimum one not the maximum so I still can fulfill to share profits so stakeholder in many years. You can make big profits in one day but also can loss big too.. Quote Link to comment Share on other sites More sharing options...
purplegl Posted July 22, 2011 Share Posted July 22, 2011 I've to admit that FOREX investment is risky & these type of investment requires investment knowledge & analysis. Besides that, there are some companies try to attract investors with many lucrative offers, which comes with unrealistic returns. So, investors should take caution when doing investment to avoid scammed by forex company. Quote Link to comment Share on other sites More sharing options...
hyipreviewblog Posted July 22, 2011 Share Posted July 22, 2011 I agree that forex trading is very risky but also very profitable if you can handle it in right way. I find some traders make a good living with forex and they are already in this business for more than 15 years. In the beginning they are just like us who always lost on trading forex but never give up and learn new strategy everyday so they can be like this now. They can make 20%-25% per month from their principal. So if someone offer you 100% profits in one month that is a scam investment. Quote Link to comment Share on other sites More sharing options...
flybiz08 Posted March 28, 2012 Share Posted March 28, 2012 As much as some forex traders would want to refuse to believe in unrealistic forex returns, most traders believe otherwise. Forex has the ability to produce gains that are unbelievable if a trader knows what forex is all about and the make it even better, forex can make that happen in a very short time. That's why forex has been very attractive to investors who want quick money. Quote Link to comment Share on other sites More sharing options...
charlly007 Posted April 26, 2012 Share Posted April 26, 2012 Yeah,a nice advice from the thread starter.I have learn my lesson long time ago regarding this issue.Those promising high returns are always scammer and they need to be avoided.Those who knows nothing and filled with greed will fall to them. Quote Link to comment Share on other sites More sharing options...
luke1 Posted November 19, 2012 Share Posted November 19, 2012 It is such a true thing for us here as the trader to beware and be so careful with very high RoI. Because we can make the target to get so much profit on Forex trading. But, we do have to realize here, the risk we deal will be so high as well here. This is the true fact for us to know here Quote Link to comment Share on other sites More sharing options...
cesperlight Posted November 19, 2012 Share Posted November 19, 2012 risk is involve with every business and for making money we have to make it.everyone who want to invest money aware of that.yes but selection of site for trading is really important because lots of scam sites are also in a market. Quote Link to comment Share on other sites More sharing options...
alam3636 Posted November 19, 2012 Share Posted November 19, 2012 It is such a true thing for us here as the trader to beware and be so careful with very high RoI. Because we can make the target to get so much profit on Forex trading. But, we do have to realize here, the risk we deal will be so high as well here. This is the true fact for us to know here Yes we should not get greedy seeing an offer of unrealistic returns, there is no gain without pain and so bigger profit expectations invite bigger risk for sure. The only way to make moderate profits by trading is having a well tested plan and incorporating good risk management in it. Quote Link to comment Share on other sites More sharing options...
zebrut Posted November 20, 2012 Share Posted November 20, 2012 nature of greed that ended up flopping himself, and therefore we should be able to learn to master self-control, including greed, if we are able to master the self-control to be sure we will be able to prevent the risk of a trade as the key one of which is self-control, with the restraint can be calm and patient with all the problems that are going on so that the risk that we will experience it is easy to live Quote Link to comment Share on other sites More sharing options...
tirus Posted November 20, 2012 Share Posted November 20, 2012 Unfortunately because we are into forex to make a profit, some of us still get attracted to these scams in the hopes of making a quick buck out of forex in a short period of time and without much knowledge. Despite our experience and the experienced shared by expert traders that have been in the field for a while now, some still see it fit trust such scams that promise unrealistic returns in forex. Quote Link to comment Share on other sites More sharing options...
standart Posted November 23, 2012 Share Posted November 23, 2012 set unrealistic target is like want something that beyond our expectation. in order to figuring out how much target we need to set in every order, traders should know how much daily, weekly, monthly and even yearly average price movement. but traders not necessary to calculate all of them because if we are day trader, only need to calculate daily average price movement and not weekly or monthly. Quote Link to comment Share on other sites More sharing options...
luke1 Posted November 26, 2012 Share Posted November 26, 2012 Actually here if we want to see, the return from HYIP, which usually offered is bigger than forex. It means, when an HYIP offers like 50% a month or 40% RoI a month, it is fine and good. But, if there is forex broker offers that much profit, people will think, it is too high. Quote Link to comment Share on other sites More sharing options...
tirus Posted November 29, 2012 Share Posted November 29, 2012 In HYIP you can be promised that ROI and you wouldnt mind simply because you wont have to do anything to get that profit. You just have to keep checking your interest earned and cashout. In forex you cannot guarantee profits because it would depend on the individuals trading ability and experience. Quote Link to comment Share on other sites More sharing options...
rexway Posted December 1, 2012 Share Posted December 1, 2012 Well actually even upon that I dont think that its true and realistic to target a high amount of money in forex trading no its not proper and may sometime lead to loss. Our return should be base on the number and way which we want things to be run here in our account for sure we need to be focus and build a good relationship with our strategy for sure. Quote Link to comment Share on other sites More sharing options...
budado Posted December 1, 2012 Share Posted December 1, 2012 Theirs a thin line between unrealistic returns and no returns. Because if you have little knowledge in forex trading chance are you going to end in negative and worse getting MC. And on second hand if you are lucky you can double your money in two to three weeks and even two to three days only. So in short before you aim for unrealistic profit. Make sure you also know how to make profit first and not loses. Quote Link to comment Share on other sites More sharing options...
tirus Posted December 1, 2012 Share Posted December 1, 2012 Well actually even upon that I dont think that its true and realistic to target a high amount of money in forex trading no its not proper and may sometime lead to loss. Our return should be base on the number and way which we want things to be run here in our account for sure we need to be focus and build a good relationship with our strategy for sure. I think that we start off by hoping for such high returns although we not have a proper plan in place for how we are going to actually achieve those returns. In this case it would really be of no use because in the end we will not even get to that points where we are profitable since there is no plan in place. Quote Link to comment Share on other sites More sharing options...
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