YOU vs YOUR BROKER

You vs Your Broker.

As a forex trader you already know that forex brokers make money from either Spreads and Commissions so the broker doesn’t really care whether you win or lose or both. Then logically speaking it is in the broker’s interest to keep you in the game. However, is it possible that in reality brokers are out to get you? Are the seemingly safe choices are simply illusions supported by glittery marketing strategies and demo platforms?

The retail brokers might want to see you fail, since they make money when you lose money. Basically, this kind of broker takes the other side of your trade. In this case the retail forex broker is the market maker. It can change prices, widen spreads and, of course trade against you.

To every dark side, there is a plus. In our case retail broker have an advantage that you can open an account with very little investment. Also beware of the bad reviews that really unbiased and usually written by either competition or bitter traders who emptied their account because of the lousy experience.

There are honest brokers out there, but like in any other business, there are some who try to profit big and fast. Most importantly, don’t invest everything you have in one basket. Split your fund among few brokers and see what happens. You will sooner or later realize which of them are Naughty and which are come with the Pro service.