We’ve all seen it before; showy Instagram accounts peppered with “inspiring” images of Forex traders flashing their gold-plated sports cars and million-dollar mansions. As you probably know, many of these Forext traders have also become social media sensations with thousands of followers, many of whom are ready to jump on the bandwagon to success.
But, what exactly is Forex trading and why is it creating so many overnight millionaires across Africa? We did some research on the matter and the following article is what found out.
Forex in Africa
When Forex trading first made its appearance a few years ago many people we wary of it, fearing that it was just another con or pyramid scheme. Some people went as far as to call it a form of gambling because it entails “gambling” away your money with equal chances of losing or growing it. But, it has become apparent through the success of famous traders like Jabulani “Cashflow” Ngcobo and Sandile Shezi that Forex trading can be a legitimate career and income generating platform.
This hasn’t changed the fact that there are still plenty of misconceptions out there about Forex trading. Many people are against the practice, saying that it’s a get rich quick scheme that has created irresponsible millionaires who don’t understand the value of their wealth.
But, as with anything there’s more to Forex than meets the eye.
According to experts, the key to succeeding in Forex trading is that you need to have a thorough understanding of the markets and the technical fundamentals of trading. This means more than just taking a weekend crash course or buying a piece of software that claims to do it all for you. Propositions like this are usually scams that are here today and gone tomorrow.
Things to consider before you sign-up for a Forex trading couse
- Make sure the trading institute is registered:
If you’re interested in taking a Forex course, make sure that you’re signing up with a registered broker and not a quick money making scheme.
There are numerous stories of people who’ve followed so-called trading gurus only to get burnt. Be wary of companies that promise to double, triple or even quadruple your investment in a short amount of time. In the real world, you simply cannot make $200,000 in 18 months from a $10, 000 investment- and all without lifting a finger!
Also, realise that online criminals have seized the opportunity to create fake accounts disguising themselves as well-known Forex traders. That’s why it’s important to make sure that the Forex coach you’re signing up with is registered with the FSB and has a proven track record.
- Get a mentor:
The truth is, Forex trading is an opportunity and like any other opportunity it comes with a fair amount of risk attached to it, and you need to put in the work.
For best results, look for an experienced mentor who will teach you the ins and outs of the markets. Experts say you need at least 12 months of dedicated and full-on commitment in order to understand the markets and make the most of Forex trading.
- Start with a demo:
The best way to learn Forex trading without getting burnt is to start with a demo account to make sure that Forex trading is for you before you jump in to it full time.
- Remember that Forex seminars aren’t regulated:
Many people attend Forex seminars thinking that they’ll become millionaires tomorrow without realising that these are just knowledge sharing platforms. Although you’re still paying for the seminar, there are no guarantees that you’ll walk out with truly valuable information.
The most important things to keep in mind about Forex is that it’s an emotional and volatile game that you play with a very dynamic market, and there are no guarantees.
The Verdict
You can legitimately make money from Forex trading but you need to understand the market and how it works before you go all in. A 3 to 7 day crash course won’t cut it. You need consistently apply yourself to the task of learning about Forex markets and actually master the game. The reality is if you’re financially illiterate then you cannot trade. As with anything, finding success with Forex trading takes time and proper knowledge. So educate yourself and patiently work at it with the help of a mentor until you’re ready to start investing on your own.
Source: https://www.forexnewsnow.com
Africa Global News Publication
