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Friday, September 19, 2008

Forex Robots - Are They Scams Or a Genuine Money Making Opportunity?

By Sonia Kristina

Are most forex robots scams or can they lead you to forex trading success. The answer is enclosed and will show you how to find the best ones to help you make profits.

Forex robots are not scams but this doesn't change the fact that most will fail miserably to make money. The way to judge a scam is if the facts are not correct, where traders make a fatal error is - they don't read the disclaimer.

The fact is most don't have real track records so your chances of making money with a system that has never been traded are slim but you are warned and you will see this disclaimer or similar on the vast majority of robots.

"CFTC RULE 4.41 - Hypothetical or simulated performance results have certain limitations. Unlike an actual performance record, simulated results do not represent actual trading".

So they haven't even be traded in the real world, well that's not to encouraging so what are the chances of the system making money? Not a lot as the rest of the disclaimer points out

"Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profit or losses similar to those shown".

If you trust a forex track record with the above on it, then that is up to you but making money in hindsight is easy and you don't have that advantage in the real world of trading.

There are many Forex robots that present real time track records and while past performance is no guide to future success, at least it shows the system logic is sound.

There are also some excellent free ones and we have written frequently on the 4 Week Rule in our other articles so be sure to look at this one. It maybe free and simple but it works!

Any Forex robot you buy or use, you need to understand and have confidence in, as you are going to have to trade it through periods of losses, until you hit a home run.

So when getting a Forex robot go for a real track record, understand the logic and be prepared to stick with it, through losing periods.

So are forex robots scams?

The answer is in most instances no.

Most are honest enough to put the disclaimer on and most will give you a 100% money back guarantee - but most use simulated track records and they don't repeat the performance in real life.

If you see a 100 buck forex trading system, offering you an income for life common sense tells you it's not true.

So go past the simulations save your money and buy one with a real track record or even, take a look at some of the free ones traders have used over the years and you will find one which can help you achieve the forex profits you desire.


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