As we have already established, the Forex industry is ever-growing in the South African economy, and growing right alongside it is the plethora of individuals and organizations who earn their living through providing daily forex signals, as a lot of you may know a signals provider usually offers one, two or even multiple buys or sell signals throughout the day, these often come in the form of an email or messages via Whatsapp or Telegram given members the “guidance” needed to execute a trade with a high level of confidence.
As beginners in the forex industry people often tend to use this route as their first option when deciding to begin their trading journeys and very often they find that this is a very bad route to take, with very little understanding of how the markets move and what is needs to be a successful trader people often jump headfirst into a signals group and hope that they too will enjoy the results and profits that their local forex guru posts on the Instagram or Facebook pages, they find out very soon that this is an ever-elusive dream that very seldomly works out in their favor.
I to was a victim of this kind of trading model when I first started and wasted thousands of Rands paying monthly memberships and taking low probability trade setups and all the while the signal “guru” always responds with something like…
Just backtest more. Watch the course again. Have patience. It won't happen immediately.''
all the while, we end up losing money.
Recently I decided to join another 2 signals groups, one I found on Facebook and the other on Instagram. The first one I joined was called “Market Milkers” and offered 3 to 5 signals per day and promised to turn any trader into a profitable one, this was far from the truth, not a single trade hit take profit and this was blamed on the fact that they are all swing trades that could take up to a week or more to hit TP, now while this may be true for swing trading but as a trader who has been trading for some time now I can assure you that taking 3 to 5 swing trades per day is not healthy for your trading success and is certainly not suitable for just any trader especially beginner traders, as a side note, after confronting them about this and making others in their group aware of this, Market Millers have since changed their name and blocked me from viewing their page.
The second signals group I joined is through Vault Markets, now this is a signal group with a difference, they offer free live trading on Nasdaq 100 on a daily basis executing trades at market open in the hopes of catching a quick movement to upside or downside, this unfortunately also proved very detrimental to the art of trading the financial markets, people are quickly drawn in with posts of large sums of cash being thrown around and lavish display of “traders lifestyle”… this particular signals provider is linked to Vault Markets which offers an incentive called “refer and earn” which prompts potential partners to refer other traders and earn money every time a referral places a trade and as weve previously discussed this particular broker has ridiculously high spreads with very low start up deposits which again can easily cause traders to blow their micro accounts in a single trade or even a single candlestick wick in the wrong direction, and this in the long run will ruin any beginner trader and still put money in the pocket of the person who has referred these traders and ultimately give our beloved industry a very bad name, winning only 1 out 6 trades with this provider I can confidently say that this is not the way to go.
Now I must say that not all Forex signal providers are scam artists, there are signal providers who have great reviews on the net but I am a firm believer that the proof is in the pudding and the only way to find out if it is good or not is to pay a premium and get involved and later assess if it is the real deal or not, as a South African trader I would advise that all beginner traders first take the time to learn the skill and experience the live markets before wasting money on a signal provider who might not offer the return on investment.
