Thread: Risk associated with forex

Forex is a zero sum game where if the probability of profit is high, there will be at least little risk of trading. A trader can earn good amount of money but he has to bear some risks. There are some risks for investment which can’t be ignored; such risks are called systemic risks. For example, inflation, decreasing purchasing power, interest rates etc. There is also one more type of risk that traders can eliminate or minimize with the help of techniques. This risk is called an inherent risk. For example, business risk, liquidity risk, financial risk, market risk etc.

There is a large amount of risk involved in forex trading. You can lose evverything in the blink of an eye. The unpredictability is the reason forex is so much popular among the people. Analyze both sides of the coin before entering into this world.

another risk is that you may end up meeting the wrong broker, that is a scam broker, So bad

Yes, there are risks but there are also techniques that can be learnt to minimize all market risks. On the other side, Rossa is also right that there is risk of wrong broker, but there are also ways to check if broker is legit and experiences of other traders through forums

Originally Posted by Omelana

Yes, there are risks but there are also techniques that can be learnt to minimize all market risks. On the other side, Rossa is also right that there is risk of wrong broker, but there are also ways to check if broker is legit and experiences of other traders through forums

Yeah, always reserach before joining any borker.

Originally Posted by Omelana

Yes, there are risks but there are also techniques that can be learnt to minimize all market risks. On the other side, Rossa is also right that there is risk of wrong broker, but there are also ways to check if broker is legit and experiences of other traders through forums

Yeah, always research before joining any broker.

Originally Posted by Baz Dent

Forex is a zero sum game where if the probability of profit is high, there will be at least little risk of trading. A trader can earn good amount of money but he has to bear some risks. There are some risks for investment which can’t be ignored; such risks are called systemic risks. For example, inflation, decreasing purchasing power, interest rates etc. There is also one more type of risk that traders can eliminate or minimize with the help of techniques. This risk is called an inherent risk. For example, business risk, liquidity risk, financial risk, market risk etc.

The other risk is lacj of proper knowledge, you need to learn how to trade forex first, demo trade for sometimes before you trade real