The definition of a forex scam is a trading scheme that is used to deceive a lone trader by persuasive means that they can look forward to a gain a high profit by trading the forex or fix markets.
The market has long been the target of swindlers going after the naive according to the New Your times.
It is believed that the victim looses approx $15000 dollars and that?s taken from the files of the CFTC.
This is how the scam works, the investor is promised thousands in returns in just a few short weeks with an investment of around say $5000 and once again there?s the old saying, ?if its two good to be true then it probably is?.
Now once the scammers has got his hands on the investor money he never actually places it with a broker but simply transferees the money to his bank account to spend at a later date, then he/she moves on to the likely investor. scammers bank account.
An official of the National Futures Association was quoted as saying, “retail forex trading has increased dramatically over the past few years, because of the internet and with this increase in retail forex comes fraud and the con artists.
The CFTC has prosecuted more than 80 cases which involved more than 23.000 customers who lost $350 million.
Between 2001 and 2007 approx 26000 individuals have lost in excess of 460 million in forex frauds and this number is sure to rise in the coming years.
The forex is just a number of industries out there that is open to abuse from the scammers and con artists.
So just do your homework and don?t for get if you think that something is to good to be true then it probably is.
In summarizing all I can say is be careful out there, and do your homework before investing and make sure you are using a well known broker and don?t put your eggs in one basket.
By: JD Kapiti
JD kapiti is an internet marketer you can find out more information about the forex and reviews, check it out now ==http://www.forextunez.com
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