There are many advertisements and promotions talking about forex trading secrets. Most of them are trying to sell you a book or a video serious. Some are simple just trying to get them to your website.
More recently, I’ve been seeing ads that seem to be promoting a simple method that will make millions. They tout that one little trick helped them make a lot of money in forex trading. Well let me just explain why you should beware and cautious of these so called “forex trading secrets“.
Paradox of the Forex Trading Secrets Sauce
First of all, it doesn’t make any sense why anyone would want to share their secret. Successful businesses have what they call their secret sauce. It’s some sort of trade secret that gives them a competitive advantage in their market. If they reveal this secret, their competitors will come in like vultures and use it to even the playing field.
It is no different in the forex market. You have to ask yourself a question. Why would someone with a forex trading secrets that makes them tons of money in forex trading want to share it with the world? Trading companies and currency traders who do have a secret that works to make money doesn’t share it with anyone. They just use it to make money.
Well, here is some speculation on what those reasons would be.
The first reason is simple, the secret doesn’t really work and they are trying to rip you off and make money off of you. They’re looking to make a quick buck. They may not even actually trade on the forex market at all.
Think about it. If they were making millions on the forex market with their system, why would they be using cheap and conniving tactics to get you to pay $19.95 for their e-book? It’s a simple matter of using common sense.
The only reason I can think of that someone with a working system want to legitimately want to share it is so the prices will go up more when they trade. For example, if based on their system they expect the price to rise, if they have tons of other traders that think the same thing, the price will go up even more. But even this doesn’t make sense because the currency market is so big that it won’t really make a difference anyways.
Why You Don’t Need Them
Here’s why you really don’t need a secret to begin with. There are plenty of forex trading strategies out there that work. They aren’t secrets. They are just common, well-known, credible strategies that make many traders money everyday.
These are things like using a variety of forex indicators, Fibonacci retracement, etc., to make trades. The fundamentals work, just like in any other trading world.