Fake forex firms work in ways that leave people amazed. They have learnt ways to play with your psychology over the years and this helps them successfully gain more clients for their fraudulent businesses. If you somehow manage to dodge the firms then you can expect large profits to come your way. However, unfortunately enough, dodging these is no child’s play. One has to be extremely vigilant, highly curious, an avid researcher and someone who likes to know how things work in order to totally beat the scam which lies in the way of most of the traders out there. When you are a naive trader, you cannot spot the fake ones instantaneously because oftentimes the flaws are hidden in a way that you can only sign up to discover them. And by the time they appear, it is too late to react.
The Investment Center Broker, Mr Dave Clarkson thinks that avoiding these firms is definitely hard but not something impossible. If you make yourself adhere to some principles then there is a high probability that you successfully save yourself from these imposters. We asked him for some tips that have proved to be highly effective. He is an expert in such matters and his words are considered to be highly valuable. Below are a few points that you can take care of while picking or working with a firm to cut down the chances of being deceived.
- Do not forget to check if the firm has been registered with any of the regulatory authorities or provide you with any evidence of them being reliable and authentic. This can be any document or a certificate. Fake firms try to dodge the naive traders by keeping them busy with the interface, educational resources and other flash features. They design campaigns in a way that you forget to look into essential matters. You are recommended to form a checklist with all the touchpoints arranged in the order of importance. Legal status, security and other such matters should be near the top.
- Make sure you are provided with real-time data on the forum. This might seem absurd initially but there are a large number of forex brokers that are actually providing the clients with manipulated values. They keep showing them in a pattern that looks believable but in reality, the figure deviates a lot from the actual ones. This is done when the indicators of firms are run manually. You should always make sure that the shown data is authentic and in real-time. One way to fight off this issue is to keep double-checking your data and never keep from asking questions even if you think they might get you a harsh reaction.
Clarkson recommends that apart from these you should always thoroughly go through the website. You should read everything on the site no matter how dull it appears. Also, you need to keep asking your seniors if they have ever heard of any negative news about the broker.