Have you ever heard this sentence from the mouths of friends around you? coming! Play forex now! Let's play foreign exchange! What was your first reaction? So what exactly is forex trading? Seeing many young people who play foreign exchange seek help after being cheated, is foreign exchange legal in Malaysia? Can foreign exchange really make money? If you do not have enough understanding, you directly do account transactions, then indeed, the risk is too high, let's talk about what is foreign exchange trading and how to choose a foreign exchange trading platform today. The foreign exchange investment platform I use
- If you want to know why I chose to use this platform, you can read the article I wrote before [Why choose eToro as your first trading platform?] eToro's outstanding features, what are the disadvantages of eToro?
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What is foreign exchange trading
To put it simply, foreign exchange trading is to trade the currencies of various countries, buy the currency of one country, and sell the currency of another country at the same time. There is no geographical problem in foreign exchange trading. It is an electronic network transaction, and the final product of the transaction is the currency of each country, such as the Australian dollar against the US dollar (AUD/USD). In view of the strengths of the two countries, both inside and outside, you are optimistic that the Australian dollar will rise in the long run and choose to buy When you enter the time, you have already started trading at this time.
Is Forex Legal in Malaysia?
This is an investment project that many people have been confused about. This is an investment project that makes people want to invest and worry. Is Forex legal in Malaysia? Let me say the conclusion first. Forex trading is legal, but it is illegal to open a foreign exchange brokerage company.
Foreign exchange trading is not illegal in Malaysia, but there are some places that need to be noted, that is, there is no law in Malaysia that can issue licenses to broker companies, that is to say, if one day, someone wants to open a broker in Malaysia As for the company, I can only say sorry, because there is no law to issue licenses, so theoretically speaking, it is illegal. But it doesn’t mean you can’t trade. You just need to find a foreign broker, register an account, and fill in the required personal information. At this time, there are some risks you must know, that is, if the foreign broker company cheats you If you don’t get the money you invested or profited from, then you can only ask for more blessings, and the Malaysian government will not be responsible. So when you choose a foreign exchange broker company platform, you need to be extra cautious. There are too many so-called unscrupulous brokers in the market who are cheating everywhere. They have designed multiple platforms and various discounts under clever names, but in fact it is a fishing platform. What's more, it is manipulated by the platform. The prices you see are all backstage operations, so you must be careful, you must do your homework, and you must understand whether the brokerage company you choose is regulated and which country it holds. The license must also be known!
How high is the risk of foreign exchange investment
In fact, every investment in financial instruments is risky, not just foreign exchange investment. How high is the risk? It depends on your understanding of this aspect, how to say? Suppose you can't swim today, but I throw you into a swimming pool 5 meters deep, do you think it's dangerous? Therefore, the vast majority of people who say that they are dangerous must be not very good at swimming or do not know how to swim. In the same way, if you are not familiar with the rules, operations, and correct use of leverage in foreign exchange investment today, just rush in and make a big investment. All I can say then is, good luck. . .
To be able to make money in foreign exchange investment, it is especially important to spend more time studying the fundamentals of various countries. Currencies represent countries. Compared with other financial products, foreign exchange trading has relatively large fluctuations, but it is an investment that allows you to fully control your risks Project, when your familiarity reaches a fairly high level, the thrill is really not something that can be described casually.
Can Forex Make Money?
Can. But before they are fully familiar with it, most people still pay a lot of tuition fees, so before officially starting to trade and invest, I suggest not to invest money, and to trade in a simulated account to get some feelings and understand the currency you invest in, and the general fluctuations The law of up and down, of course, at the same time, you must be familiar with where the country's foundation is. When you think it's time, you can make a small effort and make a small investment. I want to say an old saying that no one can 100% predict the market trend, so no one can 100% guarantee that you will make money doing foreign exchange trading. What you are trying to do is just try to control the risk in your hands and minimize the risk. Some people may ask, what is the average rate of return per month that is considered a better target? In fact, as long as there is a rate of return of 1%-2% every month, it is considered very good. This is far more than your bank fixed deposit. You must continue to trade to be able to make money.
So I say, if someone tells you that foreign exchange trading can guarantee a 10%-20% return, then you must be careful, it is likely to be an investment scam!
How to choose a foreign exchange trading platform
Safe and reliable
- You must understand the background of this broker, such as when it has been active in the market,
- You need to investigate who the broker is supervised by. You can check it through the official website of the regulator or broker. This is very important. A broker that is not supervised is definitely unreliable and more likely to be a scam.
transaction fee
Foreign exchange transactions require payment of transaction fees. But remember to choose a more credible and reliable broker than a broker with cheaper transaction fees. The cheapest transaction fee is not necessarily the best.
withdraw money
Normal brokers will not trouble you in this regard, they all hope that you can continue to trade on their platform, so they will definitely let you withdraw your funds without any trouble, so I still say that , if this broker makes you troublesome in the process of withdrawing money, or wants to prevent you from withdrawing money, then you really have to be careful, you may have been caught, remember to remember!
implement
The task of the broker is actually to execute your order. During your transaction, the speed of order placement and broker execution is very important, because it may affect your profit. So how long is the query execution speed. Generally more than 2-3 seconds should be careful.
customer service
Customer service is very important, if you encounter any problems while trading, you must be able to find a customer service agent who can be contacted and communicated easily.
Summarize
The above explanations are just a basic understanding of foreign exchange trading. When you are really determined to make money in this area, you must not put all your hopes here and use 5% of your property Trading is fine, because for novices, the easiest reason to get burned is that you don’t have confidence in yourself, you don’t understand the projects you invest in, so it’s easy to believe the surrounding news.
When you find that you have your own investment rules and rhythms, it proves that you are not far from profits. If you also want to refer to what platform I use to invest in foreign exchange transactions, you can click here to view them . If you need to copy If so, you can enter my ID [Ctham1], please be sure to familiarize yourself with it before choosing to copy 😊.
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