Forex Education Archives - SureShotFX https://sureshotfx.com/category/forex-education/ SureShotFX is going to give you everything you need to make it as a forex trader Wed, 26 Nov 2025 06:49:18 +0000 en-US hourly 1 https://sureshotfx.com/wp-content/uploads/2020/11/sureshotfx-fav-150x150.png Forex Education Archives - SureShotFX https://sureshotfx.com/category/forex-education/ 32 32 How Forex Seasonality Can Help Predict Market Trends to Maximize Your Profits https://sureshotfx.com/forex-seasonality/ https://sureshotfx.com/forex-seasonality/#respond Mon, 17 Nov 2025 07:07:10 +0000 https://sureshotfx.com/?p=143053 Did you know that June to August is considered the worst time for Forex trading? Now, you might be thinking about how professionals can confidently predict such trends. Yes, certain months of the year are known for strong market trends, while others are for quiet, low-volume trading. These recurring patterns in different months are known...

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Did you know that June to August is considered the worst time for Forex trading? Now, you might be thinking about how professionals can confidently predict such trends.

Yes, certain months of the year are known for strong market trends, while others are for quiet, low-volume trading. These recurring patterns in different months are known as Forex seasonality.

If you learn seasonality in Forex trading, you can predict the trends and find more opportunities in the Forex market. So, let’s dig deeper to learn more about how Forex seasonality works and what opportunities are waiting in the upcoming trends.

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What is Seasonality In Forex Trading?

Seasonality in Forex trading refers to the repeating price movement in the Forex market that happens during a specific time of the year. Every year, the market pattern seems to be the same for specific months. This has been happening for several decades, which helps traders predict market movements.

This is similar to the stock patterns. You see, certain stocks perform better in some specific months of the year; major Forex pairs show similar patterns in price movement during certain months throughout the year.

If we take a look at some of the common Forex market trends based on the previous 20-30 years of market patterns,

  • The USD often strengthens in November and weakens in December
  • September has been the worst month for the GBP/USD pair
  • May is often  bullish for JPY

Why Seasonality Matters in Currency Markets

Understanding Forex seasonality helps you to align with market liquidity and volatility shifts, ensuring precise entries and reducing risks. Besides, seasonality helps to predict-

  • Market Liquidity: You can know the time when market liquidity rises or dries up and act according to that.
  • Currency Volatility Cycles: You can anticipate the time when a spike in price movements is likely to occur to close with profits.
  • Holiday Market Trends: Knowing the holiday trends works similarly to the news filter. You can learn the market trends during the quarter ends or during holidays and adjust trade positions according to that trend.

How Forex Seasonality Affects Market Liquidity and Volatility

Yearly economic events, holidays, and institutional announcements influence the market volatility and liquidity, with predictable liquidity patterns across major currencies.

How Forex Seasonality Affects Market Liquidity and Volatility

Let’s break down how FX seasonality affects market volatility and liquidity:

  1. Impacts on Liquidity:

    When institutional traders and hedgers are on holiday, such as in the month of August and at the end of December, overall trading volume decreases. As a result, this affects the market liquidity in a great way. Lower trade volume creates lower liquidity.

    Additionally, different announcements and steps taken by the central banks and hedge funds also impact market liquidity.

    Portfolio rebalancing near the fiscal quarter, balance sheet updates, and year-end updates can either strengthen or weaken a currency, affecting the market liquidity with a recurring market pattern.

  2. Impacts on Volatility:

    The price fluctuations in the Forex market never remain the same. But some scheduled economic data releases, like the monthly US payrolls report or the year-end rebalancing, can create short-term volatility spikes.

    However, during the holiday season or the period of low liquidity, the market remains volatile. At that time, a small order can cause huge price swings due to fewer traders in the market.

    And this seasonal pattern has been observed for two to three decades, indicating a consistent seasonal trend in the Foreign Exchange market.

Key Seasonal Trends in the Forex Market by Quarter (Q1-Q4)

Lower liquidity at the end of December is a prevalent seasonal trend in the Forex market. Besides, such other seasonal market patterns are also available. You can align strategies to overcome Q1 rebalances or Q4 bullish spikes.

Here’s an example table of seasonal pairs for different periods:

Seasonal Pairs Typical Period Seasonal Tendency Underlying Drivers
EUR/USD November/December Tend to rise Year-end portfolio rebalance, dollar weakens
GBP/USD October & April Tends to rise with volatility UK winter season & Fiscal year
USD/JPY October & March USD Tends to rise After the Summer effect & the Fiscal year
AUD/USD January & June Strong Performance After holiday effects & Increased demand

After analyzing the historical data and economic indicators, we have come up with the following seasonal pattern for different quarters so that you can learn and use it to maximize your next profits.

Oh, we also showcase quarterly Forex seasonal patterns for some popular currency pairs.

January, February, and March are the months of the 1st Quarter, or Q1. The new year is a new beginning of the Forex transactions and pricing with fresh positioning and stronger moves.

After December’s fewer trade participants and lower liquidity, January comes with a higher liquidity pool, creating breakout and reversal trends. Strategies used during this period are often known as the January liquidity return strategy.

What is the January Effect in Forex Seasonality?

The January Effect is the market trend when the Forex market seems to be highly volatile due to the market opening after December’s holiday closing. This effect is considered to be an anomaly or persistent until the pattern shifts.

For example, the Australian dollar (AUD) shows strength this month, creating opportunities.

Small-cap currencies and traders getting back to trading create volatility spikes in the currency market in this quarter.

For example, the most common and most traded pair, EUR/USD, shows a bullish trend in January. That’s why it is also called the January Bull trend.

What are the February Key Patterns?

February continues with volatility from central bank meetings and economic data releases. AUD/USD weakens seasonally, influencing market momentum.

What Strategies are Prevalent in March?

In March, the Forex market rebalances for the next quarter. The Japanese Yen (JPY) creates opportunities due to fiscal year-end, while NZD/USD tends to fall.

April, May, and June comprise the second quarter, or Q2. Market liquidity seems stable during this quarter, indicating a trend-following phase. This time is perfect for the trend-following traders with seasonal momentum forex strategy setups.

At the start of Q2, the British Pound (GBP) shows huge trade opportunities, as April is the fiscal year for the UK. And this trend has been prevalent for the last 10 years.

Additionally, EUR/USD continues its profitability and bullish trend in March, April, and May. So, choosing this pair can bring more opportunities for the retail traders.

April comes with a national holiday- Star Sunday, when traders get a chance to upgrade trading tools at exclusive offer plans. So, make sure you prepare for that day.

During May, the USD shows strength, resulting in more profit opportunities, while the market moves weakly at the quarter’s end. However, due to the Summer vacation time in May, many traders seem to be selling stocks in May, which is called ‘Sell in May and Go Away’ strategy.

The historical trade data from Market Watch shows that during May, traders believe the market is slowing down due to summer vacation. However, this trend is mostly applicable to the stock market, rather than the Forex.

The AUD/USD and CAD/USD pair is strengthened in June due to the Australian Winter season. Similarly, the NZD/USD tends to be profitable with a bullish trend at the end of June.

The 3rd quarter includes July, August, and September. This Summer season seems to show a relatively quieter and calmer market.

EUR and USD have lower volatility and lower liquidity as well, as many Europeans and Americans take their Summer vacation. But historically, EUR/USD shows a Bullish trend in September.  Maybe that is why June to August is considered the worst time for Forex trading. This season is known as “summer doldrums.” 

GBP continues to offer strong opportunities in June and July, but you may find a bearish trend in August and September.

Again, the USD/JPY shows a seasonal strength trend in August. But it goes bearish with lower liquidity in September due to the Japanese Autumn season.

The strong bullish pattern continuing for AUD/USD shows price fluctuation around August. But in September, AUD/USD historically has seen bearish performance with an average of a 0.32% drop since 1971.

Note: EURO tends to show strength in the Summer due to the increase in tourism within the Eurozone only.

This is the final quarter, meaning the Q4 season that typically shows the volatility peaks. These last 3 months of the year come with huge volatility spikes and liquidity pools in the Forex market, creating huge opportunities for traders of every level.

Q4 Forex Seasonality (Based on 2014-2024 Historical Data)

Best Currency Pairs October Trend November Trend December Trend
EUR/USD Bullish Bearish Mild Bullish
USD/JPY Bullish Strong Bullish Bearish Reversal
GBP/USD Bullish Start Volatile, Sideways Slightly Bullish
USD/CAD Bullish Bullish Volatile Neutral
EUR/JPY Bullish Strong Bullish Performance Drop
AUD/USD Range Slightly Bullish Volatile
NZD/USD Weak Slight Bullish Weak

Institutional investors, hedgers, and portfolio managers rebalance their portfolios at the quarter endings. October to December is full of holidays like Christmas, Thanksgiving, and New Year’s, offering a profitable season with reliable trends, which is why traders focus on and utilize this last quarter of the year.

During this quarter, the market underwent several trends. Here they are:

October Seasonal Forex Pattern

Prominent trends appear in October, showing a market shift from the slow Summer season to a volatility spike. EUR/USD and GBP/USD show a higher volatility with a bullish trend during the month of October.

This year, Gold signals have performed better, with a net gain of over 8165 pips by SureShotFX Gold VIP signals.

However, the USD/JPY shows a little weaker trend with bearish performance this month. On the other side, the AUD/USD shows a mixed performance in October- neither too volatile nor too stable.

At the beginning of October, the Halloween trading effect starts. And this Halloween effect is prevalent as a seasonal trend from October to April, particularly in the stock market.

However, GBP/USD has been showing strong performance in October since 1971. And the October 2025 performance report by StoneX shows that GBP/USD has an almost +0.26% return on average.

Seasonal Forex Pattern in November: The News-Driven Market

November is best known for the strong directional move in the currency market due to different economic data releases, like institutional meetings and announcements, US non-farm payroll reports, portfolio rebalancing, etc.

Besides, the month of November comes with some pre-holiday trends filled with offers and deals like Black Friday offers and Cyber Monday. Therefore, retail traders look for opportunities to upgrade trading tools and prepare for the best performance ahead.

These holiday shopping seasons create a momentum acceleration in major currency pairs with strong bullish performance, with an increase in Q4 retail sales.

Historically, November to April shows higher trading volume and price gain, helping traders in investment decisions, such as predictable price movement, risk management, etc.

And USD tends to show strong performance during November and early December based on the past 10 years of historical trade data. So, most of the major pairs show a strong bullish trend, particularly the USDCAD, EURUSD, and USDJPY.

December Low Liquidity Forex Trend

December is well known for stock selling and the US bearish trend. Until Christmas Eve, major Forex pairs show pretty good performance with profitable return opportunities.

But the end of December shows low liquidity as a result of the major holiday effect: Christmas, Thanksgiving, and New Year’s Eve. However, this time is a strong time for the US stock market, which is best known as the ‘Christmas Rally.’

Historical data shows that the EURUSD pair benefits from the year-end volatility across the London and New York markets with a mainly bullish trend.

  • USDJPY shows weaker performance than EURUSD because of the holiday low volatility effect. But Bank of Japan and US economic releases can create a little bit of price movement with little to no opportunities for the retail traders.
  • GBPUSD remains volatile during December due to the economic data release by the Bank of England. So, there is less opportunity for the retail traders. However, institutional trades rebalancing portfolios might look for some opportunities with some short-term trends.
  • As the USDCAD pair is linked to the oil market, this pair shows some repetitive cycle trends with strong performance. So, breakout trends are profitable for this pair in the first two weeks of December. 
  • Last but not least, NZD/USD, USD/CHF, and AUD/USD show lower liquidity with no profitable opportunities because of major holidays and year-end capital flows.

Note: From December 25th onward, the Forex market enters the ‘holiday mode’, creating lower liquidity.

How to Trade Forex from October to April – The Seasonal Edge

How to Trade Forex from October to April

Focusing on the major Forex pair only, you can easily trade with profits during this period.  October to April is considered the best time for Forex trading due to major institutional activities and holiday trends.

From the holiday Q4 season to the liquidity return Q1 season, it shows the least volatile to the most volatile period with profitable opportunities, especially for beginner retail traders like you. So, you must learn how to use seasonality in your trading.

You might see people suggesting not to trade in December, but the multi-award-winning Forex trader Ndemazeah Godlove said,

Why? Because during these seasons, institutional activities are mostly active with a strong liquidity pool, creating huge opportunities.

Here’s how to trade Forex during the holiday season:

Choose the Best Time

Forex market opening and closing hours change across different sessions during March, April, October, and November. So, choose the best trading hours according to your session zone for the best profit gain.

However, it is always recommended to trade during the London-NewYork overlap session for higher liquidity and volume.

Choose the Best Pair

Trading the major currency pair is ideal and recommended. However, based on the forex trading holidays and FX seasonality, choose the pair that has liquidity and stability.

For example, trading EURUSD with the best October forex volatility strategy shows a higher profit return, while trading USDJPY comes with higher risk at this time, as it seems the USD or JPY to weaken in December.

Manage Risk According to FX Seasonality

Be ready for different seasonal trends and volatility shifts. For example, following the winter trend-following forex strategy will not be profitable at the time of the New Year forex breakout strategy.

Check historical data, analyse the yearly charts for fundamental analysis, and find out the seasonal trends of a pair for a particular time.

Choose the Best Strategy:

Choosing the best Forex strategy that aligns with the season is important. Scalping with high-frequency trading during the holiday year-end season is like willingly risking your capital. So, make sure you know when day trading is profitable and when swing trading is profitable.

The best beginner strategy for every Forex seasonality is to follow expert trades. And if you don’t want to take the hassle of analysis and chart monitoring, try the SureShotFX free Forex signals.

How SureShotFX Signals Can Ensure Profitable Trades in Every Season

With expert-analyzed signals and trading resources, you can catch profitable trades in every season. No analysis, no continuous monitoring, only profitable trades backed by seasoned experts.

SureShotFX offers both free and paid VIP signals for Forex, Gold, and indices trading. Our seasoned trade analysts create each trade signal that aligns with every seasonal trend with accuracy.

Additionally, SureShotFX Algo, an automated trading system, offers Forex scalping signals backed by expert strategies and backtesting that can give your trading an edge, no matter what level of trading knowledge you have.

Seasonal Forex Trading Tips for Beginners

Follow major pairs, avoid thin holiday markets, and analyze historical data before each quarter. Besides, some expert tips are as follows:

  • Always set your trading strategy according to seasonal trends to avoid thin liquidity.
  • Adjust your seasonal trading strategy based on the season and market liquidity
  • Analyse historical data from 10 or 20 years to ensure the recurring patterns
  • Never avoid economic events and always plan for the economic calendar trading
  • Track economic indicators like the interest rates, GDP, inflation, etc. to stay updated about seasonality
  • Backtest every forex strategy for the best performance
  • Never risk your capital during the holiday seasons like Christmas and Thanksgiving
  • Always use Stop-Loss (SL) for every trade you open.
  • Never hold trades for a long time or swing trades during the holiday season
  • Keep a trading journal and review your trading setup yearly, and improve
  • Be careful of the market liquidity and stay updated
  • Never overtrade in the greed of profit during holiday volatility hours
  • Never let emotions come into your trading strategy

Conclusion

Forex seasonality does not guarantee you profit, but yes, it helps recognize recurring opportunities, as these have been prevalent in the market since 1971. So, knowing these seasonal Forex trends can help adjust your trading strategy effectively.

Whether you are a beginner or an experienced trader, after reading this comprehensive guide, you now have the gist of which pair is profitable for which season. Now, you can craft your profitable trading strategy for different seasonality.

However, if you want to avoid the strategy plan, follow the SureShotFX Forex signal with 99% accuracy and a 24/7 live human support team. Contact SSF Support now to learn more.

FAQs

Green background Cover Photo with characters and a text FAQ
FAQ
Which Season is Best for Forex Trading?

October-November and March-April are the best seasons for Forex trading.

Does Forex Seasonality Work for All Currency Pairs?

No, Forex seasonality works for specific currency pairs for a specific season.

How Reliable is Forex Seasonality?

Forex seasonality is almost reliable, as this has been proven based on 30 to 50 years of historical trading data. Fundamental and technical analysis is recommended.

What’s the Best Strategy for Trading from October To April?

A trend-following or breakout strategy is best for trading during the high-liquidity phase from October to April.

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Ultimate Guide to Forex Scalping Signals for High-Frequency Trading Success https://sureshotfx.com/forex-scalping-signals/ https://sureshotfx.com/forex-scalping-signals/#respond Fri, 31 Oct 2025 11:50:55 +0000 https://sureshotfx.com/?p=140742 Scalpers, if you are thinking about profitable scalping, placing up to 100 trades daily is nearly impossible, especially for beginners. But using Forex scalping signals, you can do that easily without taking any extra stress. Research shows that scalpers using reliable scalping signals have a higher success rate than those who do not use signals...

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Scalpers, if you are thinking about profitable scalping, placing up to 100 trades daily is nearly impossible, especially for beginners. But using Forex scalping signals, you can do that easily without taking any extra stress.

Research shows that scalpers using reliable scalping signals have a higher success rate than those who do not use signals while scalping.

So, in this blog post, we will showcase everything about scalp trading with Forex signals and how to choose a reliable scalping signal provider. Let’s dive deeper.

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What is Forex Scalping?

Forex scalping is a Forex trading strategy where trades are open for very short periods, typically within 1-5 minute charts. Traders who follow the scalping style are called scalpers.

Scalpers usually execute dozens or even hundreds of trades in a day. The Forex scalping strategy aims to profit from a few pip movements from each trade. Forex scalpers use extremely short timeframes for trading, like 1M (1-minute), 5M (5-minute), and 15M (15-minute) charts.

What Are Forex Scalping Signals?

Forex scalping signals are real-time scalping alerts for trading in the Forex market. Like any other trading signals, scalping signals come with an entry and exit point for fast trades, a stop-loss, and a take-profit level.

Forex scalping signals are generated and delivered by highly experienced experts for traders looking to scale up to profit from a small price movement.

Why Traders Use Forex Signals for Scalping

Traders use Forex signals for scalping to execute hundreds of trades daily without manual analysis. The scalping signals come with technical analysis and high-frequency trading (HFT) strategies, helping traders focus on profit only.

Forex scalping signals are short-term trade signals that need instant execution. Some risky traders use second time frames for scalping, which requires a high skill set but comes with massive risk.

Such high-frequency, disciplined trading in scalping strategies can be nearly impossible for a beginner or mid-level trader. But with short-term scalping signals, you can easily catch profits from a few pips daily.

However, you can trade even major currency pairs faster with Forex scalping signals in a day, which is impossible for a beginner trader.

So, using the accurate Forex scalping signals, any trader can place up to 100 trades within minutes and profit from Forex scalping without doing the technical analysis.  So, basically, with scalping Forex signals, traders can-

  • Take hundreds of trades in a day
  • Make a quick profit from smaller price movements
  • Scalp without technical analysis
  • High-frequency Forex trading without market monitoring
  • Trade without psychological impact
  • Trade major currency pairs faster with Forex scalping signals
  • Diversify the account with multiple pairs of trades

Forex Scalping Signals Vs Regular Forex Signals

The main difference between Forex scalping signals and other Forex signals is the timeframe and trade frequency.

Factors Scalping Forex Signals Regular Forex Signals
Chart Use Use an extremely short timeframe (1M, 5M, 15M) Longer timeframe (hourly, daily, weekly)
Position Holding Duration Hold trade positions for a few seconds to minutes only Hold trade positions for hours, days, or weeks
Trade Frequency Highly frequent trades (up to 100 trades in a day) Moderate number of trades (Maximum 3 to 5 trades daily)
Diversification Diverse trading with multiple currency pairs Not possible (signals stick to max 2 to 3 pairs at a time)

Timeframes & Setups for Forex Scalping Signals

1- to 5-minute charts are mostly used for Forex scalping signals. To generate scalping signals, trade analysts use an extremely short time frame- minute charts. And the ideal time frame for Forex scalping is to use the 1M (1-minute) to 5M (5-minute) charts.

Ultra-fast scalpers use the 1M charts, which require instant execution. Some scalping signals often seem to be analysed with 5M charts for more margin in trading with scalping signals.

As Forex scalping needs trades to open and close within a very short time frame, scalpers can make profits within this short time.

Here is an example of a Forex scalp signal:

EUR/USD long at 1.0970
Stop Loss: 1.0966
Take profit: 1.0978
Chart: 1-minute timeframe

Top 3 Indicators Used for Scalping Signals in Forex

To generate Forex scalping signals, many indicators are used based on traders’ styles and preferences. However, after some traders’ queries and testimonials, we found the 3 best indicators for Forex scalping signals.  These are- Fibonacci Retracement, ORB, and EMA.

Fibonacci Retracement, ORB, and EMA

This indicator is widely used in the scalping strategy. This indicator helps to identify the potential support and resistance levels and predict the next pattern in the Forex market.

Fibonacci retracement mainly helps a trader to find out the bounce level. And in Forex scalping, it’s not about predicting long trends — it’s about catching small, short trends with high-probability moves (5–20 pips or ticks).

ORB, or Opening Range Breakout, is used to find out the breakout strategy after a new market session. This indicator is mostly used for scalping within the first 15 minutes after the Forex market opening hour.

This means applying some strategies; traders look for a breakout opportunity to profit from the market opening hour.

EMA or Exponential Moving Average, is the most common and widely used indicator- every trader knows it. It’s because, unlike regular MAs, EMA helps to identify the most recent price data and the current market condition.

So, for short-term trading like the 5-minute scalping, the 5-EMA or 9-EMA line helps to capture the market trend quickly to profit from scalping.

However, if we take a look at the legendary and world’s best scalper, Fabio Valentini, he follows a different strategy for scalping. Unlike other oscillator indicators, Fabio uses volume indicators, like the Cumulative Volume Delta (CVD).

Recently, in a live trading session with Chart Fanatics, he showed how he uses CVD to predict the buying and selling pressure across a period to find out the extreme scalping opportunities.

Note: Cumulative Volume Delta indicator is not the same as the Volume Delta indicator.

Step-by-Step Guide to Scalping Using Forex Signals

Scalping with forex signals can be fast and profitable if done systematically. Here’s how to use Forex signals for scalping:

Prepare Your Trading Platform:
Start by selecting 1 or 2 major currency pairs for Forex scalping signals, like EUR/USD or GBP/USD, and use a low-latency broker for fast execution.

Set up Your Charts:
Set up M1 or M5 charts with key indicators such as EMA, RSI, or Bollinger Bands to track market movements.

Monitor Forex Scalping Signal:
Once a signal arrives, quickly verify market conditions, including spread, liquidity, and session timing, to align with the signal to confirm a high-probability trade.

Execute Trades:
Enter the trade immediately after confirmation, applying the suggested stop-loss and take-profit while keeping the trade size small to manage risk. Monitor execution to avoid slippage or delayed fills.

💡Pro Tip: Manually trading with Forex scalping signals is quite challenging due to rapid market movement. Using a signal copier like the TSC AI copier is highly recommended to catch such short-term Forex scalping signals for seamless execution.

Stay Alert:
During the trade, remain alert and be ready to exit early if spreads widen or volatility spikes unexpectedly. Record each trade outcome and note any deviations from the signal to improve future decision-making.

Keep a Trading Journal to Review & Improve:
At the end of the session, review all trades to assess signal accuracy, profitability, and trading costs. Identify setups that consistently perform well and refine your approach while maintaining discipline and avoiding over-trading.

Risk Management in Forex Signal Scalping

Scalping amplifies both opportunity and risk because of the speed and frequency of trades. Here are key risk-management rules while scalping with Forex signals:

  • Lot size/Leverage control: Use a smaller lot size per trade, as many trades accumulate risk.
  • Stop-Loss Discipline: Every trade must have a defined stop-loss; without it, one large loss can wipe out your entire account.
  • Cost Awareness: Spreads, commissions, and latency slippage matter a lot in scalping. If the cost per trade is too high, profitability is hard. 
  • Session & Liquidity: Trade during high-liquidity times (London, New York); avoid low-volume sessions where slippage is higher.Avoid Emotional Over-trading: Many trades can lead to fatigue; when mistakes creep in, stop the session.

How to Choose a Reliable Forex Scalping Signal Provider

Proven performance track record with transparency and active support must be considered while choosing the Best scalping Forex signals providers.

  • Results Transparency: A reliable scalping signal provider publishes a verifiable track record, including entry and exit points, risk metrics, and historical performance. Check for signal performance records from Myfxbook or FXBlue.
  • Latency & Signal Delivery Method: Scalping is highly time-sensitive. Signals must be delivered on time. Even minor delays can turn a high-probability trade into a loss. Providers with real-time signal delivery and low latency trading signals help you place the trade immediately.
  • Broker Compatibility: Ensure the signal provider’s signals are compatible with your broker’s execution speed, spreads, and potential slippage. Misalignment between signals and broker execution can cause huge losses, especially in high-frequency trading. 
  • Risk Management Settings: A strong provider includes recommended stop-loss and take-profit levels and offers guidance on trade positions. Proper risk management is essential in scalping, as high trade frequency can quickly turn into losses without disciplined controls.
  • Regulation & Credibility: Prefer providers that collaborate with regulated brokers and offer client testimonials, reviews, or trial periods. SureShotFX Algo offers the best automated trading solution with scalping signals.
  • Community & Customer Support: Choose a signal provider with a responsive and human support system, and timely updates help traders optimize performance and learn while trading.
  • Signal Accuracy: Check and review the signal accuracy rate before going for any premium subscription. For scalp trading, signal accuracy plays a crucial role.

Common Mistakes in Using Scalp Signals & How to Avoid Them

Blindly following signals without checking brokers’ fees and costs, and overtrading are some common mistakes traders make while scalping with Forex signals.

Common Mistakes in Using Scalp Signals

Here’s how to sidestep these mistakes:

  • Blindly Following Every Delivered Signal: Never blindly follow every signal without checking your trade setup and total capital.
  • Over-Trading: Many signals might tempt you to overtrade. Never ever do that. Use only high-probability Forex signals for scalping.
  • Ignoring Brokers’ Fees: Following signals does not mean you ignore brokers’ fees and costs. Always monitor spreads, fees, and latencies.
  • Holding Trade Positions: If a trade is giving you profits, it does not mean holding it for a longer position. Scalping is short-term, and you never know when the market trend shifts.
  • Trading Minor/Exotic Pairs: Always stick to major currency pairs for scalping Forex signals due to tight spreads and higher liquidity. EURUSD, USDJPY, and AUDUSD are some profitable major pairs for scalping with Forex signals.

Best Forex Scalping Signal Providers in 2025

SureShotFX Algo is the best-known scalping EA, backed by the most powerful indicators- EMA (Exponential Moving Average) and ATR (Average True Range), and other algorithms. SSF Algo strictly follows trending signals and provides trade signals at pullbacks mostly.

Verified on Myfxbook, with a notable 95% win rate and the best community feedback,  SureShotFX Algo is delivering 2-3 profitable scalping signals daily on the SSF Algo Telegram Channel.

However, SSF is featured by top financial news portals such as Digital Journal and Street Insider, making it a leading signal provider with a top-notch support system.

Oh! SureShotFX is currently running an exclusive Halloween Sale, offering up to 60% off on all VIP signal plans, suitable for different levels of traders. And the free VIP channel access with an Eightcap deposit is available, of course.

Final Wrap

Trading using Forex scalping signals requires strict entry and exit strategies. To profit from these short-term trades, you need highly accurate Forex signals for scalping.

However, SureShotFX (SSF) provides high-accuracy Forex scalping signals- best suitable for beginners and seasoned traders. Join the SSF supporting community on Telegram, where thousands of traders are profiting by using signals.

To learn more about SSF signals, contact SSF support, available 24/7 for your assistance.

FAQs

Are Forex Signals for Scalping Reliable to Use?

Yes, Forex signals from authentic and verified signal providers are reliable to use for scalping.

What Are the Best Scalping Signals?

Scalping signals with clear entry and exit points with SL-TP are the best scalping signals, such as those that SureShotFX delivers highly accurate Scalping signals.

Can You Trade Forex Scalping Using Signals?

Undoubtedly. You can trade Forex scalping using expert-analysed signals.

Are Forex Scalping Signals Worth it?

Yes, Forex scalping signals are worth it if they are used at the right time and backed by proper technical analysis.

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Scalping Vs Swing Trading: Key Differences with Best Uses https://sureshotfx.com/scalping-vs-swing-trading/ https://sureshotfx.com/scalping-vs-swing-trading/#comments Fri, 05 Sep 2025 09:29:27 +0000 https://sureshotfx.com/?p=52873 A 2024 study found that over 60% of retail traders lose money due to poorly defined strategies. Two of the most common trading styles are scalping and swing trading—but when it comes to scalping vs swing trading, which strategy fits you best? This totally depends on your trading experience. The key difference between swing and...

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A 2024 study found that over 60% of retail traders lose money due to poorly defined strategies. Two of the most common trading styles are scalping and swing trading—but when it comes to scalping vs swing trading, which strategy fits you best?

This totally depends on your trading experience. The key difference between swing and scalp trading is that scalping suits traders who prefer quick, small profits, while swing trading is better for aiming larger gains over longer periods with fewer trades.

Both approaches come with unique benefits, risks, and best practices. In this guide, we’ll break down the pros and cons of scalping vs swing trading, with practical insights to help you choose the style that matches your goals, experience, and trading personality.

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TL;DR: Quick Overview

➤ The key difference between swing trading and scalping is in time horizon and decision-making.
➤ Scalping involves rapid, frequently short-term trades with tight stop-loss and lightning-fast execution.
➤ Swing trading focuses on capturing larger price movements by holding positions for several days or weeks with fewer trades but lower commission costs.

What is Scalping? How Does Scalping Work?

Scalping is a very short-term trading method where trades are executed within minutes, sometimes in seconds. In scalping, traders mainly target taking profit from small price movements.

Scalping works by placing one or multiple trades within minutes and aiming for a few pips or cents of profit each time. Scalping usually involves multiple trades, even hundreds of trades in a day. Traders employing the scalping method are known as scalpers.

According to Verified Market Reports, in 2025, scalping trading is so acute in Japan, especially in the mobile scalping market. And it’s because scalping is a high-frequency trading style with quick trade execution, so you can trade anywhere on the go.

For example, a scalper trading FX may execute a trade as follows-
EURUSD BUY 1.1601
SL:  1.1576 (25 pips)
TP:  1.1651 (50 pips)

Here, a 50-pip movement of profit using a large position might seem to be a tiny profit gain. But such multiple trades in a day can add up to a large, meaningful profit. However, commissions and slippage may reduce net profit.

For your information, scalping is completely legal and legitimate in forex, indices, and gold markets. But for the stock market, market, individual brokers might have leverage terms and conditions for scalpers.

Key Characteristics of Scalping

Time Frame Seconds to minutes
Trade Frequency Higher, 10 to 100 trades/day
Emotion Control High emotional & execution demands
Dependency Heavily depends on liquidity & tight spreads
Time Required Full attention and quick decision-making
Ideal for Traders with time, discipline, and risk tolerance
Pros  Cons 
Fast trade execution Not suitable for beginner traders
Quick profit Chances of higher fees & slippage
Multiple trade opportunities Can be mentally exhausting
Best opportunity during market volatility
Works best in sideways markets

5 Scalping Trading Strategies in 2025

Scalping strategies are short-term trading techniques that involve quick execution, aiming for small, rapid profits with tight risk control. Momentum trading. Among different strategies, the following are the 5 best scalping strategies:

1. Market-Making Scalping

In this scalping technique, the trader places limit orders, such as buy limit and sell limit, around the bid-ask spread to cover a larger profit margin.

Indicators, such as Depth of Market (DOM) and Level 2 quotes, are mostly used in this scalping strategy.

Best for: highly liquid major pairs and blue-chip stocks during calm periods

2. Momentum Scalping

If you ask which strategy is the best for scalping, then Momentum is the answer. In momentum scalping, traders enter a trade right after any news or breakouts to grab the chance of a market move.

For momentum scalping, traders use indicators like RSI, MACD, and news scanners.

Best for: News hours, high-volatility events

3. Trend Scalping

Trend scalping is one kind of mini trade where a trader captures small price movements during minor pullbacks. For trend scalping, 9/21 EMA crossovers, MACD, and trendline indicators are used most.

You can also check some of the best scalping EAs to become a profitable scalper.

Best for: Short-trend moves.

4. Range Scalping

Range scalping is when a trader buys at support (the point from where the market starts going upwards) and sells at resistance peak (the point from where the market starts going downwards). You can guess how experienced a trader needs to be for such a trading strategy; you must know the market moves very well.

For range scalping, traders usually use Bollinger Bands, pivot points, and RSI.

Best for: Consolidating sideways markets

5. News-Based Scalping

News-based scalping is based on real-time economic calendars. This type of trade is done by instant reaction to the sudden volatility.

Scalpers mostly use the Forex Factory Calendar and Bloomberg News for news-based scalping. SureShotFX Algo has the Forex news protection strategies suitable for scalpers to filter out unfavorable volatility that makes the entire AI trading just worth it. Check the Algo trade results to see how this Algo is booming!

Best for: Events like FOMC, CPI, NFP

Swing Trading Overview

What is Swing Trading? How Does Swing Trading Work?

Swing trading is a technique that targets short- to medium-term price movements, holding trades for a few days to weeks. Swing is a popular trading style, allowing traders to benefit from market swings without needing to monitor charts constantly.

Traders employing the swing method are called swing traders. Swing trading is an active trading strategy where traders typically execute fewer trades. Unlike Scalpers who make multiple trades daily, swing traders mainly focus on maximizing profit.

Swing trading works by technical analysis of the market, such as studying price charts and market movement patterns.
For example, a swing trader places a buy trade for the following order-
GBPAUD BUY 2.0900
SL: 2.0800 (100 pips)
TP: 2.1300 (400 pips)

For this, a trader can have a check on the charts and manually close the trade or wait until it hits the TP or SL. So, this trade might take several days or some weeks, depending on the market movements and trends.

Key Characteristics of Swing Trading

Time Frame Days to weeks.
Trade Frequency Moderate, 5 to 15 trades per month
Emotion Control Needs a moderate level of emotion control and analysis
Dependency Depends on market trends
Time Required Minimal, part-time schedule opportunities
Ideal for Beginners, working professionals
Pros  Cons 
Flexible for working professionals Must follow the trend discipline
Suitable for beginners trying luck Chances of missing daily pips
Larger profit gain chances
Balance between time investments and returns

5 Swing Trading Strategies in 2025

Swing trading strategies are methods that help traders catch medium-term price movements. These strategies use tools like trendlines, Bollinger Bands, moving averages, and RSI to find the best times to enter and exit trades.

Let’s learn about 5 popular swing strategies-

1. Trend Following

This is the most popular swing trading strategy. Imagine a stock moving consistently upwards—that’s an uptrend, and a stock moving consistently downwards—that’s a downward trend! You want to buy into these uptrends and sell when the momentum starts to fade.

Here, the 50/200 SMA, ADX, and trendlines are some good indicators for swing trading.

Best for: Strong directional markets

2. Breakout Trading

Breakout strategy in swing trading works with support and resistance levels. Here, a trade is placed right after a breakout from the price pattern/trends.

When the price drops to a support level and starts to bounce back, it’s profitable to buy trades, and when the price goes to a previous resistance level and starts to go down, it’s suitable to sell trades.

For such a swing strategy, traders use Bollinger Bands, pattern zones, consolidation, etc., tools.

Best for: Profitable earnings

3. Pullback Trading

Pullback trading is a trading strategy applied when the market goes through a retracement or temporary price decline. Traders employing the pullback method believe that the market will continue the upward trend after a pullback, and so they place the trade during a dip to get more profits.

For your information, in pullback trading, traders place ‘Buy Limit’ and ‘Sell Limit’ orders, which are basically pending orders waiting for the retracement. Fibonacci levels, RSI (Relative Strength Index), and trendlines are usually used for pullback trades.

Oh! SureShotFx Algo combines such swing styles to get the most out of your scalping without any manual efforts.

Best for: Steady trending markets.

4. Reversal Trading

Reversal trading is like catching the market turn with higher risks and higher returns. During swing trading, traders applying a reversal strategy look for a chance or momentum, or spot an endpoint reversal when the market is going to reverse the trend.

Suppose a strong bearish candlestick pattern is about to turn downwards or a strong bullish candlestick pattern is going to turn upwards. That’s when a trader places a trade from an entirely new movement with potential profit gain.

Indicators like the relative strength index (RSI) divergence, moving average convergence divergence (MACD), and candlestick patterns are used here.

Best for: Exhausted trends

5. Channel Trading

Channel trading is placed when a market is moving up and down between 2 parallel lines. As we have learned about ‘support’ and ‘resistance’ levels, 2 parallel lines are drawn at these two levels.

Now, the price movement between these parallel lines is called a channel. And the trade that will be placed between this channel is called channel trading.

Parallel trendlines, Bollinger Bands, and Donchian channels are usually used in his trading.

Best for: Sideways trending markets

Swing Trading Vs Scalping Comparison

Quick Comparison Table: Swing Trading Vs Scalping 

Aspects Scalping Swing Trading
Time Frame/Trade Duration Seconds to minutes Days to weeks
Trade Type Extremely short-term trade Medium to long-term trade
Trade Frequency Multiple trades Few trades
Risk Management Extremely tight stop losses or no SL Wider stop losses
Profit Targets Smaller but multiple Larger with fewer trades
Analysis Required Technical analysis Both technical and fundamental analysis
Decision-Making Time Need quick, decisive actions Actions with patience
Trader Traits Vigilance and impatience work well here Greater patience and precision to understand trends
Stress Type Highly stressful Less stress
Chart Use Uses minute charts Uses daily charts

Swing Vs Scalping: Detailed Comparison

The visible difference between swing and scalping is the timeframe. But there’s more. So, let’s have a one-on-one battle.

Shorter Time Frame with Scalping than Swing Trading:
Scalping executes a trade within a tiny time frame, ranging from a few seconds to 5 minutes. On the other hand, swing trading continues to hold a position for days to a few weeks. 

However, the average trade holding time in scalping is typically under 3 minutes.

Comparatively Tight Risk Management in Scalping
Scalpers use a very tight stop-loss setup because of ultra-fast trade execution. One slippage can eat away the whole account. So, the risk per trade in scalping is generally kept below 0.5%.

Contrarily, swing traders can use wider SL(Stop Loss) and aim for larger profit gains. In most cases, traders use 1% to 2% of their account capital for each trade. So, scalpers can enjoy comparatively higher risk-rewards than the swing traders.

Scalping Needs Higher Skill Set and Knowledge than Swing
Scalping needs a higher level of technical analysis and instant decision-making ability. Contrarily, in swing trading, a trader requires both technical and fundamental analysis along with a strategic mindset.

Try SureShotFx signals to get the surefire trading signals with 90% accuracy without requiring analysis. Providing strategic signals for 29 forex pairs, gold, and indices, SSF is making serious waves.

Differences in Trading Costs
One of the biggest challenges in scalping is cost management. Due to faster trade execution, the spreads and fees impact the overall net profit gain. Whereas, in swing trading, traders can make a small profit gain through fewer trades in the long run.

More Reactive Trading Behaviours for Scalpers
Scalping requires a very reactive trading style. For example, scalpers need to be glued to the screen, make instant decisions, and deal with high mental stress. On the other hand, swing traders can flexibly place a trade in an analytical approach.

Both Win in Trade Quantity and Profits
Scalpers place trades aiming for smaller profit gains per trade. But multiple trades in a day with consistency can be profitable. Contrarily, swing traders can aim for higher returns by holding a position for days to weeks.

Scalping Needs More Monitoring than Swing
In scalping, continuous monitoring of the charts is a rule of thumb. Besides, checking on the market moves and changes in trends is also a part. Contrarily, swing trading does not need constant monitoring. Swing traders can enjoy a more balanced trading than the scalpers.

And nowadays, thanks to SureShotFX Algo for such an amazing automated trading strategy. No need to be glued to the screen; just set the algo on the trading platform and relax!!

So, who earns more, scalper or swing trader? Both can earn more if the strategies are applied properly.

Risk Factors in Scalp Trading Vs Swing Trading

Risk Factor Scalping Swing Trading
Execution Risk Higher slippage, latency issues Moderate – easier execution
Mental Stress Very high – constant monitoring & fast decision Moderate – comparatively balanced
Market Trend Risk Lower – quick execution Higher – mistakes in chart analysis can cause great loss
Overnight Risk No chance Moderate to higher – major events can hit stop-losses

Scalping Vs Swing Trading Chart Difference

The main difference between scalping and swing trading charts is that the scalping charts are like a close-up picture of the market movements in seconds or minutes. It shows every tiny detail.

On the other side, a swing trading chart is a broader view of the overall market movements. This can be daily or weekly movements so that the market trends and swings are visible.

Swing vs. Scalping Trading: Which is Best for Forex?

Due to high volatility, scalping is suitable for Forex trading. Forex scalpers can target 5–10 pips in liquid pairs like EUR/USD. But swing Forex traders hold trades for 100–300 pip moves, based on commission rates and geopolitics.

You can try the SureShotFX Algo, which comes with scalping strategies that are proven profitable and trusted by thousands of traders worldwide for profit in the highly volatile Forex market.

Scalping vs. Swing: Which Strategy is Suitable for Gold Trading?

Scalping gold is better for short-term price moves, while swing trading gold works for longer-term economic trends.

Gold market typically moves $20–40 per day; scalpers usually target $1–$5 per trade during high-volatility hours, like the London & New York overlap.

Swing Trading vs. Scalping: Which is Best for Indices Trading?

Among scalping and swing, swing is the best strategy for indices trading. Scalping indices needs quick reactions, which is risky in such a volatile market.

So, swing trading indices suits those following broader market cycles. And SureShotFX swing signals for indices trading are worth trying.

Besides, with a noticeable number of Trustpilot reviews and powerful community support, SureShotFx is creating new waves of trading for every type of trader.

Scalping Vs Swing Trading Winning Percentages

The success rate of scalping trading is higher compared to swing trading. And one of the key reasons behind this is high trade frequency within moments.

Based on various industry sources, TradingView claims, within 5 minutes of scalping, the success rate is around 50-70% due to multiple trades with small price movements. Whereas, a swing trader’s success rate is around 30-50% because of lower trade frequency and larger price movements.

Swing trading often outpaces scalping in net returns due to larger moves and fewer costs with bid-ask spreads. If we compare different study reports on the success rate of swing and scalping strategies, we can see-

Study Done BySuccess Rate/Win Rate of Scalping Success Rate/Win Rate of Swing Trading
TraderLion (April 2025)75%-84%35% and 50%
VectorVest (2024)55% and 80%35% – 50%
University of California (2019)6%-8% annual return12.6% of annual return
Journal of Trading (2018)41.4%55.6%

Scalping Vs. Swing Trading- Which is More Profitable?

Though profitability depends on the trader’s strategy and expertise, scalping can be profitable due to high trade frequency and quick, small gains. But it needs significant capital, constant chart monitoring, and strict disciplined strategies.

However, if you are a complete beginner trader, day trading can be more profitable compared to swing trading. However, many often ask, Can I switch between scalping and swing trading? The answer is definitely yes. As a trader, you always have the option of which trading strategy you want to follow.

Recently, a discussion among Forex traders proved that scalping literally gives more stress and pressure, and so most traders don’t prefer it. Studies also show that 85% of scalping strategies fail within 6 months.

But here’s the catch! With SureShotFX Algo, you can change the game for retail scalpers. With the combination of the best MA indicators and other strategies, most of the trades by SSFAlgo are scalping, and people are getting profits after using it.

Best Signal Provider for Scalping and Swing Trading in 2025

SureShotFx provides the best signals optimized for both swing and scalping. So, you don’t have to take the headache of analyzing charts for hours.

Nowadays, our scalping signals have been proven to be one of the best Forex signals. Besides, we are one of the most accurate swing signal providers for profitable gold and forex trading.

The SureShotFx team uses strong market analysis to find the best entry and exit points. Whether you’re trading in the USA, UK, or worldwide, our signals help you catch short-term moves or hold trades for bigger profits.

SureShotFX Is Making Headlines!

Yes, the buzz is real! SureShotFX is turning heads across the trading world and grabbing major media attention. Recently, SureShotFx has been featured by Benzinga, TheStreet, StreetInsider, and more—and that’s for good reason, of course. Launching Free Live Signal Service for Forex, Gold, and Indices on its website, it is shaking up the trading world.

Not only this! Right now, you can unlock the VIP Channel Access with a 20% Discount when you register with Eightcap through SureShotFX.

That means full access to premium signals, SSF copier tools, and a smarter way to trade — all while saving money.

Final Wrap: Which Trading Style Suits You?

We have reached the end of our battle of scalping vs swing trading. Hopefully, now you can easily decide which type of trading is most profitable—scalping or swing trading. 

Swing traders usually net more per trade, but scalpers rely on volume. For most retail traders, swing trading is more predictable and scalable.

So, if you are a seasoned, full-time trader with stable brokers and quick execution, scalping is for you, no doubt. However, choose swing trading if you want to trade alongside your 9–5 job, are patient with profits, and prefer combining technical and fundamental analysis.

However, whether you want to trade with a scalping or a swing strategy, contact us now to try our free signal strategies.

FAQs

Green background Cover Photo with characters and a text FAQ
FAQ
How Much Do Scalpers Make Per Trade?

Scalpers make $3-$5 per trade on average. While the amount might seem very small, scalpers execute dozens to hundreds of trades daily, adding up to $100 to $500 profit.

Is Scalping Suitable for Beginners?

Yes, scalping is suitable for beginners with demo accounts only. Scalping requires precision with decision-making and instant trade execution, so for beginners learning trades, it will not be ideal to apply scalping with a live account.

Is Scalping Easier Than Swing Trading?

No, scalping is not easier than swing trading. Instead, scalping needs higher trading skills and a strategic mindset. Besides, scalpers need a strong ability to control emotion, which makes scalping more difficult than swing trading.

Which Currency is Best for Scalping?

Major currency pairs like EUR/USD, USD/JPY, and GBP/USD are best for scalping. Due to liquidity and low spreads, these pairs make scalping smoother only if you are skilled enough at the scalp trading strategy.

What Is the Best Moving Average to Use for Scalping?

3, 5, 8, and 21 EMAs are mostly used moving averages by skilled scalpers. Usually, to trade within the moderate-strength market trend, the 21 EMA is ideal. Gradually, with practice, you can use 3 or 5 EMAs on steep trends.

What Is the Success Rate of Scalping Trading?

If we take a look at different studies, the success rate of scalping trading is 60–65% for each trade. However, the overall profit gain shows only 10-15% of total investment capital.

Does Scalping Work in Options Trading?

Yes, scalping can work in options trading. But to apply scalping in the options market, traders must manage execution costs and choose liquid contracts for tight spreads.

Can Scalping and Swing Trading be Automated?

Of course. Both scalping and swing trading can be automated using Algo trading strategies. For scalping, speed and high-frequency triggers are a must. And for an automated swing strategy, technical rules and alerts are crucial.

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How Profitable is Forex Trading? Tips for Beginners https://sureshotfx.com/how-profitable-is-forex-trading/ https://sureshotfx.com/how-profitable-is-forex-trading/#comments Fri, 29 Aug 2025 05:00:30 +0000 https://sureshotfx.com/?p=10719 Have you ever scrolled through social media and seen traders flashing luxurious lifestyles through Forex trading? Some of these showcases are real, and people really are earning through Forex trading. But the question is, how profitable is Forex trading? Can it make you rich overnight? It’s true that Forex trading is profitable, but it cannot...

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Have you ever scrolled through social media and seen traders flashing luxurious lifestyles through Forex trading? Some of these showcases are real, and people really are earning through Forex trading.

But the question is, how profitable is Forex trading? Can it make you rich overnight? It’s true that Forex trading is profitable, but it cannot make you rich overnight. And this is where most people misunderstand Forex.

The truth lies somewhere in the middle, so we have prepared this complete beginner-friendly guide. Whether you are a curious student, young professional, or beginner retail trader, you’ll find here the answer to every query about trading Forex in 2025.

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What is Forex Trading & How Does It Work?

Forex trading is trading foreign currencies in the Forex market. Forex trading, aka Foreign exchange trading, means buying and selling foreign currencies, which always come in pairs (EUR/USD, USDJPY).

Forex traders can profit from the small price movements of the foreign currencies, which are called pips. For example,

You’re trading on a Forex pair, EUR/USD, with a market entry price of 1.1010. Now, you place a buy trade, and the price moves to 1.1020. So, this 10 pip movement is your profit

Actually, using a broker’s leverage, you can enter the market with a small amount and take a larger position.

What is the Forex Market?

The Forex (Foreign Exchange) market is the global and the world’s largest financial market where national currencies are bought and sold. The Forex (FX) market is a decentralized market with the most liquidity, where daily trade volume exceeds $8 trillion in 2025, up from $7.508 trillion in April 2022.

The Forex market is open 24/5 from Sunday evening to Friday evening. Traders from London, Tokyo, New York, Sydney, and everywhere trade currencies here.

Why Forex Appeals to Beginners and Retail Traders?

Forex market accessibility and low margin requirements make Forex more appealing to beginners and retail traders. Such other reasons include-

  • Low Barrier to Entry: Entering the Forex market is as easy as with just $100.
  • Higher leverage Opportunity: By using leverage, small accounts, like cent accounts, can take higher positions in the market.
  • High Liquidity: The Forex market is the most liquid market. So, multiple trade openings and closings are possible instantly.
  • 24-Hour Trade Possibility: 24-hour market accessibility makes it easier for beginner traders to access the market and trade.

How Profitable is Forex Trading?

Forex trading can be highly profitable if traded with proper risk control settings and market analysis. Studies show that 5-15% of retail forex traders are profitable, who are consistent with trading Forex.

However, research also shows that 50% of beginner retail traders either lose or break even. Reason? Poor risk management and a lack of proper strategy.

But don’t be disappointed now! Forex trading is still profitable only for those who trade by learning and being consistent. Not for those who want to get rich overnight.

Recently, YouTuber JeaFX showed how only 2% of profit consistency per month can make you profitable in the long run in Forex.

Consistency, along with strategy, is the key to success in Forex trading.

Is Forex Trading a Good Investment Compared to Stock or Indices?

Comparision between Forex trading vs stocks trading

Compared to stocks or other assets, Forex trading can be a good investment. Due to its high liquidity and long-term growth opportunities, investing in Forex is worth it compared to stocks.

However, if we take a look at just investment opportunities, Forex is not a good investment option for novices.

Forex is the most volatile market as well. So, newbies just stepping into the Forex world might get overwhelmed by the trades and profits made by expert forex traders. And this can eventually lead beginners to invest in Forex. And that is why 90% of beginner Forex traders end up with losses.

So, if you are a beginner in trading, starting with Forex compared to other assets can be ideal. But make sure to educate yourself properly and practice with the demo account first, and then go for a live account to invest and trade using real money.

For short-term income strategies, forex is often more attractive than stocks.

Can Forex Trading Make You Rich Overnight? (Breaking the Myth)

Never. Forex trading can never make you rich overnight. This is the biggest myth people get into their minds after seeing the social media ads and content about becoming a millionaire.

Forex trading is profitable, but it requires consistency and patience. But those who think forex can help them become millionaires overnight, wake up!! Even expert Forex traders build wealth over years, not even days.

What Is the Success Rate of Forex Trading?

Forex trader's trade losing rate on trading platform

Only 5 to 15% of Forex traders gain consistent profitability. According to ABC Academia’s Forex performance evaluation,

Around 33% of Forex traders can make a profit over 3 months. And based on this data, annually, the success rate of Forex trading stands at only 6.7%.

Different studies show that around 72% to 84% online Forex traders lose money. Different brokers’ data about their traders losing money shows it very well.

Check out the table below to see the trader’s annual failure rate from different brokers-

Brokers Traders’ Trade Losing Rate
FX Pro 84.60%
IG Markets 75%
IC Markets 77.16%
Oanda 76.6%
Pepperstone 74.60%

And Compare Forex Brokers statistics show that 99% of Forex traders fail to keep profit consistency for more than 4 quarters.

So, why such a downstandard? Most of the newbie Forex traders fall for the trap of emotional decisions, overtrading, and inconsistency. Eventually, it leads to failure.

Risk Management in Forex: The Key to Staying Profitable

Risk management in Forex trading is one of the key factors to profit. Though Forex trading can’t guarantee a specific profit return every time, disciplined traders with proper risk management strategies can help secure 5 to 10% monthly returns.

For profitable Forex trading, proper risk management and disciplined strategies are a must to be followed every single day. Some basic risk management strategies include-

  • Never risk more than 2 to 3% of the total account balance for each trade.
  • The risk-reward ratio should be a minimum of 1:2.
  • A maximum of 3 to 4 trade positions daily is recommended for beginners
  • No trade without Stop-Losses (SL)
  • Stop-Losses must be placed logically, not randomly.
  • Risk must be properly calculated before entering the trade
  • Proper knowledge of trading strategies

To make a consistent profit in Forex trading, maintaining the mentioned points is a must on a daily basis. However, some other elements play a significant role in profitable Forex trading. Such as-

Leverage

Leverage is another crucial element to manage risks in Forex trading, especially for beginner traders. Using leverage, you can take a higher position on the market with your small amount of money.

Leverage mainly amplifies the opportunity for potential return on investment. However, taking higher leverage amplifies the risks as well (if the trade goes in the opposite direction).

Using leverage, money management becomes a bit easier. Leverage is expressed as a ratio. It’s kind of like taking a loan from the broker to place a trade position on the Forex market.

Trading Psychology

Forex trading is like an emotional roller coaster with fear and greed. So, emotional control plays a vital role here.

Psychological factors such as higher expectations, greed, overthinking, or even sometimes revenge for frequent loss, lead to overtrading and failure.

• Fear makes you close trades too early.
• Greed makes you overtrade.
• Revenge trading leads to catastrophic losses.

That’s why having a structured and disciplined trading strategy is a must for profitable Forex trading.

How to Make Consistent Profits in Forex Trading?

Consistent profits in Forex trading need proper risk control, emotion control, and disciplined trading. Here are some Forex trading profit strategies backed by expert traders:

  • Never place a trade without setting stop losses and take profits.
  • Set realistic, measurable goals, like a monthly 2 to 3% return on investment.
  • Always check news events and other geopolitical events.
  • Learn and follow trading strategies, like swing trading, scalping, and position trading.
  • Risk Amount should be calculated as % Risk * Account Balance.
  • Learn to control emotion, no matter what happens
  • Avoid taking higher leverage
  • Master fundamental and technical indicator analysis (RSI, EMA, Fibonacci)
  • Follow a strictly disciplined trading strategy for consistent profit assurance.
  • Scale slowly- start small and grow with profits.

Can You Start Forex Trading with $100 or $1000?

Yes, you can start Forex trading with both $100 and $1000. But the trading strategies and profit returns for both accounts will be different.

Starting Forex with $100:

It’s the most suitable strategy for beginner Forex traders. With a $100 deposit account, you can take from 1:20 to 1:100 leverage. It depends on your broker on what the best leverage will be for a $100 account.

But in this case, your goal should not be to make $100 profit daily. Rather, you can learn the strategies and practice risk management and emotional controls with around $1-$2 daily profit.

Benefits of Starting Forex with $100:

• Opportunity to learn and practice.
• Access to the broker’s leverage.
Micro or mini lot sizes availability or cent accounts.

Starting Forex with $1000:

It’s something a mid-level Forex trader should opt for. With a $1000 account, you can aim for a higher leverage and profit return by risking only $10-$20 per trade. 

Benefits of Starting Forex with $1000:

• Higher leverage opportunity
• Higher profit return
• Flexible risk management options
• Access to more trades

No matter what amount you start with disciplined trading strategy is a must.

How Much Does a Forex Trader Earn Monthly?

A professional Forex trader can earn around 5-10% of the total account in a month, as per some survey analysis. However, this can be different for a beginner Forex trader.

However, full-time professional Forex traders can secure a six-figure yearly income on average through disciplined and strategic trading.

So, it’s not like that earning a living by trading Forex is impossible. Consistency and proper risk control can help with consistent profit in Forex trading.

How Much Can You Make Trading Forex with Forex Signals?

how much can you earn with forex signals

A forex signal provider that provides analyzed signals can help in making consistent profits. For example, the SureShotFX signals, which secured 2823+ pips in their Forex VIP signals (as of July 2025 net gain data).

Beginner Forex traders who are practicing can use SureShotFX signals for profitable trading, along with learning. It offers both free and paid Forex signals. Join the SSF Telegram Channel for free and accurate Forex signals.

SureShotFX signals are generated manually by human experts. So, these signals are an effective way to profitable Forex trading for beginners.

Is Forex a Scam Or Legit?

Forex is not a scam; It’s a legit trading system. The Forex market is regulated by different security commissions, such as the CFTC and SEC, where different currencies are traded worldwide.

So, Forex trading is not a scam as long as it is traded with proper strategies. However, there are Forex scams happening nowadays that you should be aware of. People are getting scammed due to not having proper knowledge about Forex and Forex trading scams.

Final Wrap: Is Forex Trading Profitable in 2025?

Forex trading can be profitable in 2025 for traders who invest in proper education and trade with strong emotion control and risk management strategies. With disciplined trading strategies, anyone can be profitable in Forex trading.

Now, you know how profitable Forex trading can be and how to maintain consistent profitability. If you take Forex trading as a business, you can be profitable.

Besides, beginner Forex traders can use Forex signals to trade Forex without in-depth research and secure profits. Try SureShotFX Live Free signals and enjoy consistent profit without market analysis.

FAQs

Is Trading in Forex Profitable?

Yes, trading in Forex is profitable if proper risk management setups are applied and strategies are followed.

Has Anyone Got Rich from Forex?

Yes, there are many successful Forex traders, such as Dan Legg, the top youngest successful Forex trader; hedge fund manager Stanley Druckenmiller, and Paul Tudor Jones, famous for his strong emotional control.

Is Forex Highly Profitable?

Yes, Forex can be highly profitable compared to other financial assets if traded with proper strategies and risk control.

Do People Actually Make Money from Forex?

Yes, people actually make money from Forex. But there are some Forex scammers too, showing fake results.

How Much Can You Make with $1000 in Forex Per Day?

With proper strategies and emotion control, you can make around $10-$15 per day with a $1000 investment in Forex.

Is Forex Trading Halal?

Yes, Forex trading is halal if traded with proper market analysis and trading strategies. But it can turn out to be gambling if it is traded randomly without analysis.

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11 Forex Trading Scams Exposed & Tips to Avoid Scammers in 2025 https://sureshotfx.com/forex-trading-scam/ https://sureshotfx.com/forex-trading-scam/#comments Tue, 01 Jul 2025 11:04:09 +0000 https://sureshotfx.com/?p=52938 Around 32% of forex trading scam happen through social media platforms like Facebook, TikTok, Twitter, Instagram, and Telegram, according to Finance Magnets. And these trading scams are not limited to these platforms only. Due to the allure of high returns, forex frauds are increasing day by day, targeting investors worldwide. And traders are falling for...

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Around 32% of forex trading scam happen through social media platforms like Facebook, TikTok, Twitter, Instagram, and Telegram, according to Finance Magnets. And these trading scams are not limited to these platforms only.

Due to the allure of high returns, forex frauds are increasing day by day, targeting investors worldwide. And traders are falling for such scams easily. 

But with the rise of forex scammers, rules and regulations are imposed, too. So, keeping yourself safe from forex scammers is no longer a dream but compulsory. And so, in this comprehensive guide, we will be talking about different types of forex scams and pro tips to avoid them.

Let’s dig in!

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What Is Forex Trading Scam?

Forex trading scams are deceptive practices done in the forex market while trading, where fraudsters promise guaranteed profits to convince individuals to join fake trading platforms and make deposits. This fraudulent trading is often done through social media channels, unauthorized apps, and phishing websites.

Forex trading investment scams, also known as foreign currency trading scams, are mostly done by alluring an investor/trader with fake promises of higher profit with lower investment, which is a totally nonsensical promise scammers make.

If you know about forex trading, then you know there is no fixed profit or guarantee for a higher return every time

Michael Dunn, the former commissioner of the US CFTC (Commodity Futures Trading Commission), which regulates the entire foreign exchange market in the US, has already warned us about forex fraud being the most common form of fraud since August 2008.

However, making fake promises of higher returns in forex trading is an older type of scamming. Apart from this, forex scammers try to convince traders to change their brokers for just a better spread or profit.

How Forex Trading Scams Are Done

Trading scams happen by convincing people with fake trading or deceiving people with fake trading platforms, demanding money in the name of trading, or asking for unnecessary deposits, and then the brokers disappear.

Sometimes, forex trading scammers deceive you with mirror MT4/5 platforms by showing what you actually want to see. And when you make the deposit, the money is completely gone along with that fraud broker.

2 out of 3 retail forex traders lose money every quarter

— U.S. Commodity Futures Trading Commission (CFTC)

So, when someone is alluring with no loss, this should be a scammer, no doubt!!

Recently, a complete newbie asked on Reddit about how a forex trading scam actually works. As he was somewhat confused about a trader who does not share the financial credentials and never gives the deposit, how on earth could a scammer sue him?

And this is where the twist of the currency trading scam lies. Forex scammers convince traders with various types of greed, such as higher returns, better spreads, more accuracy, consistent profit, and more. And not only these; there are more. And traders get easily convinced by the scammers and fall prey to them.

For example, customers give deposits to unregistered forex platforms, or novices with no knowledge of automated trading give money to fraudulent brokers or sometimes share the trader account credentials with a deposit without even knowing that their account will be gone right after the handover.

Even sometimes we have seen that experienced traders can fall victim to forex scams! Because, with the rise of advanced technology and the decentralized forex market, people fall for scammers’ higher return claims and market data manipulations.

What Are the Various Types of Forex Scams?

8 Signs of a Fraud Scammer

Based on a number of different types of fraudulent activities in FX trading, the CFTC has imposed some rules and regulations to make people aware of such scams.

Along with some common scams in the forex markets, we are showcasing here every possible forex scam for your concern.

1. Point Spreads Scam:

Some dishonest brokers manipulate the market data and increase the bid-ask spread. It is one of the most common and older forms of forex trading traps that is done by computer manipulation, basically.

Usually, you get around 2 to 3 pips for a common pair such as EUR/USD. But a fraud broker might show you 7 pips or even more. They inflate spreads far beyond the market condition, especially during news events, causing instant losses or stop-outs.

Some brokers delay trade execution (slippage) or fake prices on rigged platforms to simulate losses, which is never justified by the forex market.

2. Accounts Churning for Commission

Account churning is when a broker makes excessive trades in your account just to earn more commissions or fees, not to make you profit.

This can happen when you give discretionary authority to the broker, and the fraudulent broker frequently buys and sells investments, resulting in account churn. This fraudulent practice can eat away your account, leaving you with losses only while the broker gets his full commission.

3. Signal Seller Scam:

The live forex signal scam is one of the most common types of forex fraud today. Here, scammers sell fake forex signals without any proper research and market analysis, claiming to be the most accurate and profitable.

But the worst part of the signal sellers is that they pretend to be trading experts and charge money for their fake forex signals. They promise big profits, show fake success stories, and then often disappear with your money.

Not all the forex signals are fake. Here are some of the best and most reliable forex signal providers that really exist in today’s time.
And here are some proven ways to identify fake and real forex signal providers on Telegram.

4. Ponzi and Pyramid Schemes:

In the Ponzi schemes, the scammers take money from the investors and pay it as a profit to other investors, showing a good profit with fake trading. Actually, no trading is placed here.

In a Ponzi scheme, no real trading is happening — just money being passed around like a circle. And the collapse occurs when there are not enough people to be fooled around, and they leave you with no money, saying it is a loss.

On the other hand, a Pyramid scheme is almost similar to a Ponzi scheme, where transactions are happening without any trading.

In a Pyramid scheme, scammers convince you to join their platform or group to earn money with forex trading, only by inviting more people to join. Here, you get paid for recruiting more people into this forex fraud group; no real trading is ever seen here.

Ponzi and Pyramid scams happen mostly with the newbies who know nothing about foreign currency trading and brokers.

5. Romance Scam:

When a forex scammer makes fake relationships with the customer to win trust and eventually manipulates them to make a deposit or give money on fraudulent forex, it is called a romance scam.

The CFTC study says that back in 2001, most of the romance scams were held through different dating apps. And in 2021, the number has increased and started happening on various social media platforms like Facebook, Instagram, or TikTok!

In a Romance scam, scammers push you to move the conversation off the platform or a private messaging social platform. Most of the victims of romance scams fall into the 18 to 29 age group, who get lured by a forex scammer to give money to the fake trading platforms.

6. Boiler Room Scams:

A boiler room scam is when some fraudulent salespeople call or message you pretending to be professional forex traders or brokers and convince you to deposit money as a trade investment.

These types of scammers work in an office with high pressure, like a boiler room, where they have a group of such people. They sound very confident and show you fake trading profiles and success stories stolen from others.

Once you give them money or share financial credentials, they vanish.

7. Blending Funds & Investors’ Money:

This type of trading scam is also known as a mini Ponzi scheme. Here, scammers use a single account for trading and other personal use. Simply put, it mixes your money with their own or other clients’ money in one big account, instead of keeping it separate and safe.

So, you can’t have any track of where your money is going. Scammers use your money to pay for their personal use or pay off bills and salaries. So, if they lose it or go bankrupt, you may get nothing back.

8. High Returns with Low Risk (HYIPs Scheme):

Low-risk and high-profit assurance is another common forex scam. And those who know currency trading must know that trading is never guaranteed with the highest return. There is no trade without loss. In a trade, one loses and another makes profits; this is how it goes.

So, if any person claims the highest returns with the lowest investment or guarantees you the highest profit, they are doing fraud, for sure. This type of forex fraud is also known as a High Yield Investment Program (HYIP).

9. Outright Fraud:

Outright fraud in forex trade is when there is no broker, no trader, or even any trading platforms, but claims expert-level trading with fake images and false promises.

Romance scams, pyramid schemes, and Ponzi schemes can be considered outright types of foreign exchange fraud.

10. Phishing/Spoofing Scam:

Website phishing is when someone creates a fake website similar to an official website and tricks people. With phishing websites or spoofing websites, scammers convince people to make deposits or share financial credentials without doubting, as the website URL seems exactly similar to a legit website with slight, unnoticeable changes.

This type of fraudulent activity is also called clone firming, where scammers build a fake company that copies the same name, logo, and details of a real, licensed forex platform.

These types of scammers look real, but actually, they are frauds and just want to steal your money.

11. Robot Scamming/AI-Driven Scams:

North American Securities Administrators Association (NASAA) President Leslie Van Buskirk said that AI-driven scamming will be on the rise in 2025. And this has been impacting the Automated forex trading system.

Robot or forex trading bot scams are forex scams using advanced AI technology where scammers use artificial intelligence to create deepfake graphics and content, create fake trading apps, even voices of real, legitimate figures, to scam investors.

And this type of AI-driven fraudulent activity is mostly seen in forex signal scams. Forex signal scammers trick people with fake forex signals.

Besides, trading scams with fake EAs are another kind of forex scam where scammers pretend to give you real and reliable EA files for automated trading. But in reality, those EA files have no existence or legitimate programming. As a result, scammers take away your money, showing it as a loss in trade.

How To Spot a Forex Scammer: 8 Signs of a Fraud Broker

Now that you’re aware of forex scams, you might be wondering how to identify scammers, right? Well, we will showcase a list of forex trading scams to help you find out the forex scammers and avoid them.

1. Profit Assured Sales Pitch

One of the common and prime signs of a forex scammer is that they will lure you with quick profit assurance without risk. If you know a little bit about trading, then you know that there is no guarantee of profit here. Yes, you can gain profit, but there will be risks too.

So, if someone is assuring you a 100% profit gain for every trade, that is a red flag.

2. Requesting or Emphasizing Personal Details

If a person or a company is asking for personal details disclosure or asking for your financial details, it’s a scam, no doubt. To place a trade, you don’t need to share any personal information.

3. Lack of Regulatory Compliance

Fraud brokers will not have any compliance with the authorized entities. For example, different states have different foreign currency trading regulators, such as

  • Commodity Futures Trading Commission (CFTC) in the US
  • National Futures Association (NFA) in the USA
  • Financial Conduct Authority (FCA) in the UK
  • Australian Securities and Investments Commission (ASIC)
  • Cyprus Securities and Exchange Commission (CySEC)
  • European Securities and Markets Authority (ESMA)

In 2024, among different forex scams, 30% were about brokers claiming false licensing to authorized officials or other fake entities. So, make sure your forex broker has authorization or regulatory compliance with the above official websites. If not, you must avoid him.

Check out the top 5 forex brokers to prevent fraudulent actions.

4. Claims for Non-Existence of Market Downturns

If someone is claiming that their trading strategies ensure no downturn, like there will be no market downturn if you follow their strategies, it’s a forex scam.

An Investopedia study says the Forex market is inherently volatile and unpredictable. So, there is no proven strategy yet that can ensure a 100% profit gain. If someone claims, it is a red flag!

5. Limited Time Offer/FOMO Type Scammer

AvaTrade has warned to avoid scammers pressuring to act quickly or ‘limited time offer’ deals. to the sudden volatility.

This type of scammer tries to convince you with attractive offers that must be bought now or will be missed. It’s a FOMO (Fear of Missing Out) technique that is prevalent in trading scams.

So, cross-check everything before you step forward with such urgent offers.

6. Unnecessary Fees/Tax Demand

In July 2024, a USA trader found a broker demanding a 15% “tax” payment upfront to release funds. And if the payment is not made by a particular date, there will be a complaint to the IRS, and the victim’s credit will be affected.

If you face such kinds of messages or demands for any unnecessary taxes or fees, this is 100% fraud. Don’t fall for such trading frauds, as the IRS is not responsible for collecting fees.

7. Restrictions/Difficulties to Fund Withdrawal

WikiFX reports that fraudulent brokers often prevent their clients from withdrawing funds. Sometimes scammers put immediate limitations on accessing funds, demand unnecessary verification, or even deny withdrawal from the beginning.

In 2023, around 60% of forex scam reports were about denied withdrawals or imposed unnecessary fees. You might also get scammers citing technical issues for withdrawal delays and denying fund withdrawal, which is a scammer’s sign.

Well, we have reviewed some of the best forex trading mobile apps for you to get the best out of your trading without fear of getting scammed.

8. Cold Calling and Unsolicited Offers

Scammers reaching out to you with unsolicited investment offers are a sign of forex scams. Legit brokers don’t get involved in cold calling.

Also, if you get such offers on social media platforms or dating apps, it’s a scam. Any legitimate forex broker does not deal or communicate through social media platforms or dating apps.

However, to make you aware of the forex scammers, make sure to go through the scammers’ list of spoofing websites to avoid live forex signal scams in the name of SureShotFX.

Is Forex Trading Legitimate?

Yes, Forex trading is legitimate only if done through regulated platforms. Forex trading is one of the largest, most liquid markets in the world, with over $6 trillion traded daily. It’s widely used by banks, corporations, governments, and individual investors to exchange currencies

That’s why, to combat the rising forex scams, in 2010, the CFTC, along with the SEC (The U.S. Securities and Exchange Commission) and the NFA (National Futures Association), another regulatory agency for forex frauds, set up a special task force to deal with different types of foreign exchange scams.

That year alone, 193 forex fraud cases were filed, and 23% of victims recovered lost funds. Though investor reimbursement is not always guaranteed, you have the laws at least to file the case and expose the scammer.

How Do I Know If a Forex Trader Is Legit?

To find out if a forex trader is legit or not, check their regulatory compliance with authorized entities like the CFTC, NFA, etc. Also, check for licensed brokers. 

For the rising forex scam nowadays, newbies are thinking about, “Is forex trading real or a scam?” – This type of question comes to mind naturally. But if you can get a legitimate platform and a real broker, you can also trade. 

Check for forex currency trading reviews and testimonials before trying a platform to avoid getting scammed. You can also check how to choose the best forex broker and prevent forex scams.

Can You Get Scammed in Forex Trading?

Yes, you might get scammed in trading if cautionary steps are not taken. Be aware of unauthorized brokers or offshore trading where no regulation applies. Also, cross-check before making any deposit to unauthorized platforms or dealing with crypto assets.

Be especially aware of people who approach you on social media platforms, dating apps, messaging apps, or through unsolicited emails.

Expert Tips to Avoid Getting Ripped Off in Forex Trading

Though foreign currency trading scams have been so prevalent in recent years, taking some precautionary steps can help prevent them.

Always choose brokers regulated by CFTC, NFA, or equivalent in your jurisdiction.
Investigate the broker’s background, including company history, financials, and physical address.
Check Trustpilot reviews to avoid forex signal scams and fake signal sellers.
Avoid offshore brokers with no regulation or unclear licensing.
Test the broker’s customer service responsiveness and support quality.
Look for genuine trading reviews and testimonials from verified clients to avoid scammers.
Watch out for fake testimonials and overly positive feedback.
Check the CFTC red list or similar alerts for scam warnings.
Avoid brokers with newly created websites or no testimonial history.
Use a clear risk management plan and never invest more than you can afford to lose.

Why Do 90% of Forex Traders Lose Money?

Due to a lack of basic trading knowledge, 90% of forex traders fail and lose money on trading. Sometimes, traders trading without a better risk management strategy lose money in forex trading.

Also, having no proper knowledge of market conditions and not knowing how to use SL and TP in trading can lead to losing money.

So, it shows that if you want to trade with profits, you must start with the basic knowledge of forex trading, along with being cautious about all the scams in forex trading.

What to Do If You Get Scammed by Forex Frauds?

list of the forex regulatory officials

If you ever get scammed by currency trading frauds, make sure to contact your region’s forex regulatory service.

Here is a list of the forex regulatory officials to report fraudulent activity or forex fraud.

Region Regulatory Complaint Site Regulatory Website
USA FTC Federal Trade Commission
USA CFTC Commodity Futures Trading Commission
USA NFA National Futures Association
USA SEC U.S. Securities and Exchange Commission
UK FCA Financial Conduct Authority
Australia ASIC Australian Securities and Investments Commission
Europe ESMA European Securities and Markets Authority
Cyprus CySEC Cyprus Securities and Exchange Commission
California DFPI Department of Financial Protection & Investment

Final Thoughts

Forex currency (Forex) fraud is too prevalent nowadays. But that does not mean you avoid trading. Instead, avoid these forex scammers by learning about various scams and how to prevent them.

Besides, laws and regulations are imposed to prevent forex trading scams and ensure that forex trading is smooth and transparent. If you think you encounter a forex fraud, reach out to your region’s forex regulatory official website and file a complaint against the fraud.

FAQs:

Green background Cover Photo with characters and a text FAQ
FAQ
Is Forex Trading a Scam or Legit?

Forex trading is not a scam if done properly using authorized platforms. But yes, trading scams are also real and happening. So, forex trading is legit, and if you want to trade legitimately, you must trade with authorized platforms as well as authorized and expert brokers.

Is Forex Trading Real?

Of course! Forex trading is real. Due to the rise of advanced technology like deepfakes and AI, currency trading scams now seem to be everywhere. So, many think of this as fake. But such foreign currency trading is real and happening in the forex market and is being regulated by the region’s financial authorities worldwide.

How To Identify a Forex Scammer?

To identify a forex scammer, the first thing you can find is that the broker is not licensed by the official regulatory entities. A forex scammer might approach you with limited-time investment offer deals or lure you with low-risk, high-return claims. Make sure to avoid such frauds.

Is Forex Trading a Bad Idea?

No, forex trading is not a bad idea. Instead, forex trading is a legal trading where trillions of currency units are traded daily worldwide. With proper strategies and steps, profitable returns are possible. However, if you don’t have any trading knowledge or you don’t have any idea of the forex market, forex trading is not for you.

Can a Broker Be a Scammer?

Yes, a forex broker can be a scammer. For this, you must check the broker’s authorization with official regulatory entities and check for real reviews and testimonials before you start trading.

How Do You Know If the Broker Is Not a Scammer?

A legit forex broker is like a good referee—fully licensed with official regulators, plays by the rules, and never pressures you to make a move. Besides, legit brokers provide full risk disclosure documents on their websites and do not ask for taxes and unlocking fees for withdrawal.

Is Forex Trading Gambling?

No, forex trading is not gambling. Because of trading with currencies, forex trading might seem like gambling, which eventually leads to scamming. But in reality, forex trading differs from gambling. Forex trading includes proper strategies, market analysis, and moves with tactical risk-management setups, whereas gambling refers to betting money recklessly.

Is Forex Trading Profitable?

Yes, forex trading is profitable. Due to its high liquidity and vast forex market, forex trading carries a significant possibility of profit gain along with risks. In short, the forex market is profitable, but the profit is not guaranteed every time. 

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8 Forex Trading Strategies to Get You Started https://sureshotfx.com/8-forex-trading-strategies-to-get-you-started/ https://sureshotfx.com/8-forex-trading-strategies-to-get-you-started/#comments Thu, 08 May 2025 10:22:00 +0000 https://sureshotfx.com/?p=17072 Forex trading is a diverse platform. As a trader you can approach forex trading in different ways, depending on your goals, risk taking capability and time. In this blog, we will discuss about 8 common forex trading strategy. Additionally, we will help you compare their pros and cons. To help you choose a forex trading...

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Forex trading is a diverse platform. As a trader you can approach forex trading in different ways, depending on your goals, risk taking capability and time. In this blog, we will discuss about 8 common forex trading strategy. Additionally, we will help you compare their pros and cons.

To help you choose a forex trading strategy that will work for you, we have created a bubble chart that shows how each strategy ranks on these three criteria-

1. Higher risk-to-reward ratio = More profitable strategy
2. Lower time investment = Lesser time needed to monitor trades
3. Frequency of trading opportunity= how often you can find suitable trades in the market

Thus, larger bubble means more trading opportunities offered by the forex trading strategy. Now, lets look at each strategy in more detail.

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Forex Trading Strategy: Price Action

Price action forex trading strategy involves studying the price movements and patterns of the market to identify trading signals. Price action traders do not rely on indicators or fundamentals, but rather on their own interpretation of the market. Price action trading can be applied to any time frame and market condition, as long as the trader can read the price action accordingly.

Range Trading

Range trading strategy is trading within a defined price range, where the market is moving sideways without a clear trend. Range trading requires support and resistance levels (they are price points where the market tends to bounce or reverse) to enter and exit trades. You may also use oscillators like RSI CCI or Stochastics to identify overbought and oversold conditions, where the market is likely to turn around.

Trend Trading

This forex trading strategy involves following the direction of the market, whether it is up, down, or sideways. By using moving averages, trend lines, or channels- you can identify the trend and trade in its direction. Trend trading may require using MACD, to confirm the trend and spot potential reversals. Trend trading can be very profitable in the long run, as trends can last for weeks, months, or even years.

Position Trading

This forex trading strategy requires holding positions for the long term, based on fundamental factors or macroeconomic trends. Position trading does not focus on short-term fluctuations, but rather focus on the big picture of the market.

Position traders use technical analysis, such as the Elliott Wave Theory, to support their fundamental analysis and identify entry and exit points. Position trading requires a lot of patience, discipline, and capital, as the trades can take a long time to unfold and involve large price movements.

Day Trading

This forex trading strategy means opening and closing positions within the same trading day, without holding any overnight risk. Day traders use short-term price movements and volatility to make profits, using technical analysis, indicators, and chart patterns to find trading opportunities. You can also use high leverage and tight stop losses to magnify your returns and limit losses. Day trading requires a lot of time, attention, and skill, as the trades are fast and frequent, and the market can change quickly.

Scalping

This strategy involves taking small profits from very short-term trades, sometimes lasting only a few seconds or minutes. Scalping requires the use high leverage and large trade volumes to exploit minor price changes in the market. You will be using technical analysis, indicators, and price action to find trading signals.

Scalpers also use automated trading systems or algorithms to execute their trades quickly and accurately. Scalping requires a lot of discipline, concentration, and stress management, as the trades are very intense and risky, and the margins are very thin.

Swing Trading

Forex trading strategy like swing trading involves holding positions for a few days to a few weeks, taking advantage of medium-term price movements and market cycles. You will need to use both technical and fundamental analysis to identify trading opportunities, using indicators, patterns, and trends to time their entries and exits.

4 forex pro tips


You will need to use risk management techniques, such as stop losses and take profits, to protect their positions and lock in their gains. Swing trading offers a balance between the time investment and the risk-reward ratio, as the trades are not too short or too long, and the profits are not too small or too large.

Carry Trading

Forex trading strategy that requires borrowing a low-interest currency and investing in a high-interest currency, earning the interest rate differential between the two currencies. Carry traders use fundamental analysis to select the currency pairs with the highest interest rate gap and the lowest risk of depreciation.

Carry traders also use technical analysis to confirm the trend and avoid sudden reversals. Carry trading can be very profitable in the long term, as the interest income can compound over time, but it also involves high risk, as the exchange rate can change significantly and wipe out the profits.

Conclusion

These are some of the most popular forex trading strategies that you can try. However, remember that there is no one-size-fits-all strategy that works for everyone. You need to find a strategy that matches your personality, skills, and resources, as well as the market conditions.

You also need to test and refine your strategy before applying it to the real market, using a demo account & back-testing. Finally, you need to follow your strategy with discipline and consistency, and always use proper risk management and self-control.

Needless to say, there is always an EASY WAY to make EASY MONEY in FOREX. HOW? – JOIN SURESHOTFX and START COPY TRADING!

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5 Best Day Trading Strategies That You Are Looking For! https://sureshotfx.com/5-best-day-trading-strategies/ https://sureshotfx.com/5-best-day-trading-strategies/#comments Wed, 16 Apr 2025 09:19:00 +0000 https://sureshotfx.com/?p=12666 As a beginner in day trading, it s important to know the basic and best day trading strategies properly to avoid any kind of losses and gain many profits in a shorter time. Intraday trading is a riskier way to invest money in the stock market and very much different from what investors do in the...

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As a beginner in day trading, it s important to know the basic and best day trading strategies properly to avoid any kind of losses and gain many profits in a shorter time. Intraday trading is a riskier way to invest money in the stock market and very much different from what investors do in the stock market. So, it is mandatory to invest as much as one can afford to lose.

Here, either you can win or you can lose all but that depends on intraday trading strategies you are using to trade. Here, we will talk about five best intraday trading strategies that will help you make an informed decision while trading forex.

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What is Day Trading?

Day trading refers to buying and selling financial instruments, such as stocks, options, currencies, and futures, within the same trading day. The goal of day trading is to profit from the price movements of these assets over a short period, typically just a few hours or minutes.

Day traders use technical analysis and charting tools to identify short-term trading opportunities. They may leverage their trades with borrowed funds to amplify potential profits. Day traders typically close all of their positions by the end of the trading day to avoid exposure to overnight market risk.

Day trading can be highly risky. It requires a significant amount of knowledge, skill, and discipline. It is not suitable for all investors and should only be pursued by those who fully understand the risks involved.

Intraday trading is the most common in the stock markets and forex. Scheduled announcements like the release of news affect the market greatly. Market reacts to these news and moves suddenly and significantly which benefits the intradday traders greatly.

What are the 5 Best Day Trading Strategies?

One of the best parts about day trading is how it allures the traders to take profits from the price fluctuations. To do so, you need to learn and practice good intraday trading strategies. Here are the best 5 day trading strategies that you are looking for-

Momentum Trading Strategy

Momentum trading is a popular strategy used in the financial markets to take advantage of the trend-following behavior of certain assets. The basic idea behind momentum trading is to buy assets that have been trending upward and sell assets that have been trending downward.

Momentum Trading Strategy

The momentum trading strategy is based on the assumption that assets that have performed well in the recent past are likely to continue performing well in the future. This is because investors tend to follow trends and momentum, rather than looking at the underlying fundamentals of the asset.

To implement a momentum trading strategy, traders typically look for assets that have shown a strong upward or downward trend over a certain period of time, such as the past 3 to 12 months. They then buy assets that have shown a strong upward trend and sell assets that have shown a strong downward trend.

One common way to measure momentum is through the use of technical indicators, such as moving averages, relative strength index (RSI), and stochastic oscillators. These indicators help traders identify when an asset is overbought or oversold, which can indicate a potential reversal in the trend.

It is important to note that momentum trading is a high-risk strategy, as it relies on the continuation of trends that may not continue indefinitely. Traders must be diligent in their analysis and risk management to avoid large losses. It is also important to diversify one’s portfolio and not rely solely on momentum trading.

Breakout Trading Strategy

Breakout trading is a strategy used in financial markets that aims to take advantage of a sudden and significant move in the price of an asset. The basic idea behind breakout trading is to enter a position when the price of an asset breaks through a significant level of support or resistance. It may indicate a new trend to start.

Breakout Trading Strategy

To use a breakout trading strategy, traders typically look for assets that have been trading within a narrow range for a significant period of time. They then look for a breakout above or below a key resistance or support level.

Once the breakout occurs, traders enter the market. If the breakout is above resistance, they take long position. If the breakout is below support, they take short position. Traders can use technical indicators such as moving averages, trend lines, or Bollinger Bands to identify key levels of support and resistance.

It is important to note that breakout trading can be risky. False breakouts can occur, where the price briefly breaks through a key level and then reverses. Traders must be conscious about their analysis and risk management to avoid huge losses.

One common approach to manage risk in breakout trading is to use stop-loss orders, which are orders that are placed to automatically sell a position if the price moves against the trader beyond a certain point. This can help limit potential losses in the event of a false breakout or a sudden reversal.

Overall, breakout trading can be a profitable strategy when executed correctly. But it requires careful analysis and risk management. Traders should also consider using other strategies along with breakout trading, such as trend following or mean reversion, to diversify their portfolio and reduce their overall risk.

Moving Average Trading Strategy

Moving average trading is a strategy that uses one or more moving averages to identify the trend and potential entry and exit points in the financial markets. The moving average crossover strategy is based on the simple fact that smaller moving averages follow price faster than larger moving averages. When the crossover strategy occurs, a small trend formation occurs.

Moving Average Trading Strategy

To implement a moving average trading strategy, traders typically plot one or more moving averages on a price chart. A moving average is a line that shows the average price of an asset over a specific period of time, such as 50 days or 200 days.

Traders may use one or more moving averages to identify different trends. For example, a shorter-term moving average, such as the 50-day moving average, may be used to identify short-term trends, while a longer-term moving average, such as the 200-day moving average, may be used to identify long-term trends.

When the price of an asset crosses above or below a moving average, it can signal a potential trend reversal. Traders may enter a long position when the price crosses above a moving average, indicating a potential uptrend, and exit the position when the price crosses below the moving average, indicating a potential downtrend. The opposite approach can be used for short positions.

It is important to note that moving average trading is not foolproof and can result in false signals, particularly in choppy or sideways markets. Traders must be diligent in their analysis and risk management to avoid significant losses.

Overall, moving average trading can be a useful strategy for identifying trends and potential entry and exit points in the financial markets. However, traders should consider using other strategies along with moving average trading to diversify their portfolio and reduce their overall risk.

Pullback Trading Strategy

Pullback Trading Strategy is a strategy where traders enter the market during pullbacks.

The pullback trading strategy is a popular approach used by traders. It identifies potential buying opportunities in a trending market. The basic idea is to wait for a market to pull back or retrace from a recent high or low. Then, enter a trade in the direction of the overall trend.

Pullback Trading Strategy

Here are the basic steps involved in a pullback trading strategy:

  1. Identify the trend: The first step in this strategy is to identify the direction of the overall trend. You can use various technical analysis tools, such as moving averages or trend lines, to help you determine the trend.
  2. Wait for a pullback: Once you have identified the trend, you should wait for the market to pull back or retrace from a recent high or low. This can provide a buying opportunity if you are looking to go long.
  3. Look for a support or resistance level: As the market pulls back, you should look for a support or resistance level where the market may find support and start to move back in the direction of the trend. This could be a key moving average or a previous swing high or low.
  4. Enter the trade: Once you have identified a support or resistance level, you can enter the trade in the direction of the trend. You should set your stop loss just below the support level to limit your risk.

The pullback trading strategy can be effective in trending markets, but it requires patience and discipline to wait for the right setup. It is also important to manage your risk and use proper position sizing to avoid excessive losses.

Reversal Trading Strategy

A reversal trading strategy is a type of trading strategy that involves identifying a change in trend and entering a trade in the opposite direction. The goal is to capture profits as the price moves in the opposite direction.

Reversal Trading Strategy

Here are the steps to implement a reversal trading strategy:

  1. Identify a trend: Determine the prevailing trend of the market, whether it is an uptrend or a downtrend.
  2. Look for signs of a reversal: Look for signs that the trend may be reversing, such as a break in a key level of support or resistance, a change in the price pattern or a reversal signal from a technical indicator.
  3. Confirm the reversal: Confirm the reversal by waiting for additional price action to confirm the trend change, such as a series of lower highs and lower lows in a downtrend or higher highs and higher lows in an uptrend.
  4. Enter the trade: Once the reversal is confirmed, enter the trade in the opposite direction of the prevailing trend. This can be done using a variety of methods, such as buying or selling at market, or placing a limit order at a key level of support or resistance.
  5. Manage the trade: Manage the trade by setting stop-loss orders to limit losses in case the reversal does not occur, and take-profit orders to lock in profits as the price moves in the opposite direction.

Reversal trading can be a profitable strategy, but it also carries a higher risk due to the potential for false signals and the need to act quickly when a reversal is identified. As with any trading strategy, it is important to develop a solid understanding of market dynamics and to implement sound risk management practices to minimize losses.

Bottom line

There are several strategies for day trading but these are the best ones to follow. Though reversal trading strategy is the most difficult strategy, many traders like to take risk to make good profit. Most of the traders prefer to follow the trend. Through intraday trading, a trader can make profits within a short period. SureShotFX shares intraday trades in their free channel. If you need any help, you can contact @ssfsupport on telegram


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Scalping Strategies in Forex Trading https://sureshotfx.com/scalping-strategies-in-forex-trading/ https://sureshotfx.com/scalping-strategies-in-forex-trading/#comments Tue, 18 Mar 2025 12:06:00 +0000 https://sureshotfx.com/?p=15631 Want to make quick trades without looking all day to the boring monitor? If yes, then keep reading on to know how you can use scalping strategies to make quick bucks! Scalping is a trading strategy that involves making multiple small profits on minor price changes throughout the day. Traders’ open positions for very short...

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Want to make quick trades without looking all day to the boring monitor? If yes, then keep reading on to know how you can use scalping strategies to make quick bucks!

Scalping is a trading strategy that involves making multiple small profits on minor price changes throughout the day. Traders’ open positions for very short timeframes trying to profit from buying and selling volatility. Intriguing, right? So, without any further ado let’s dive into the details.

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What is Scalping in Forex?

In the forex market, scalping means traders open positions and close them within minutes or seconds. They target very small price movements to make profits before volatility dies down.

It’s a trading strategy where traders aim to make small profits from rapid price movements within very short timeframes. These timeframes can be as short as seconds or minutes. Scalpers make numerous trades throughout a single trading session, capitalizing on the tiniest price fluctuations. They may open and close multiple trades each day, making tiny profits on each small price swing.

Scalpers: Scalpers take day trading to the next level. They make lightning-fast trades, aiming to profit from minor price movements. It’s like catching quick glimpses of opportunities in a fast-paced market.

Best forex scalping indicators

Indicators: Scalpers rely on fast-reacting technical indicators that identify short-term trend changes. These tools help scalpers act fast to capture small profits during temporary price fluctuations successfully.

Some common forex scalping indicators include:

  1. Moving Averages: Shows dynamic support and resistance levels. These helps identify trends and potential entry and exit points.
  2. Stochastic Oscillator: Measures the momentum of price movements to identify overbought or oversold conditions.
  3. Fibonacci Retracement: Helps identify potential support and resistance levels.
  4. MACD: Identifies momentum shifts that signal trade entries.
  5. Bollinger Bands: Indicate potential price volatility and overbought or oversold conditions and displays periods of high and low volatility. 
  6. RSI (Relative Strength Index): Indicates overbought and oversold levels to close positions. It also helps traders spot potential reversal points in the market.

Is Scalping for You?

Successful forex scalping strategies requires discipline, decisiveness, and composure. Scalpers must act quickly when their indicators signal an opportunity. However, they must also strictly follow their risk management rules when closing losing positions.

As one of your scalping strategies – you must aim to profit from small intraday price movements. Just know that scalping is the most active intraday trading style. You’ll need to sit glued to your screens for hours watching tick data.

It also requires decisiveness – any hesitation and your profit window may disappear. Not everyone is suited for scalping in forex. As not everyone can handle the pressure from this. 

  • It takes a resilient personality to repeatedly open and close trades in minutes all day long. Scalpers must accept frequent small losses as part of the strategy.
  • Scalpers must adhere strictly to their trading plan and not be swayed by emotions.
  • As mentioned before, rapid decision-making is crucial when price movements happen in seconds.
  • Scalping can be intense, so being able to handle stress is essential. 
  • Successful scalping strategies needs analyzing charts and indicators effectively.

Scalping Strategies to Succeed in Forex

scalping strategies - tips to profit from scalping
  • Use a reliable forex broker with tight spreads and fast execution. This keeps transaction costs low. Also search for a broker that has minimal slippage.
  • Trade only the most liquid currency pairs like EUR/USD and USD/JPY. They have stable volatility.
  • The most liquidity and price movements occur during major trading sessions.
  • Set stop-loss orders to limit potential losses.
  • Follow short-term charts like the 1- or 5-minute timeframes. Identify setups early. Focus on a shorter time frame.
  • Keep position sizes small – risk only 1-2% of your account per trade. Losses add up fast when scalping.
  • Keep an eye on economic news and events that can impact currency movements.
  • Set clear profit targets and stop losses. Close trades quickly once they are reached. 
  • Maintain discipline around your trading rules and risk management system.

Long Awaited Question: Is Scalping Worth the Shot?

Scalping can be profitable for experienced traders with the right personality and depends on your skills, strategy, and market conditions. They can generate income from small price swings that add up over time. But it requires great skills to cover the spread costs and consistently profit. It can be profitable for experienced scalpers who have honed their skills and developed effective strategies.

However, it’s not without risks, and beginners may experience losses as they learn the ropes. Beginners often lose money trying to scalp. It takes practice reading charts fast and maintaining composure during volatility. There’s a more better solution. You can join SureShotFX VIP Signals and just copy the expert trades without much work. What’s more interesting is- you can use our telegram to mt4 copier to automatically copy trades from our VIP Channels. Want to know more? Contact us!

Key Steps for Manually Scalping Forex:

1. Identify currency pairs with ideal volatility and liquidity using short-term charts. Focus on major currency pairs with high liquidity and low spreads.

2. Wait for your indicators, like the MACD or RSI, to signal a new trend emerging. Apply your chosen indicators to identify potential entry and exit points.

3. Enter a buy or sell trade quickly once you get a clear signal.  Define your risk tolerance by setting a tight stop loss and profit target. Enter and exit trades quickly when your indicators align with your strategy.

4. Watch the trade closely and be ready to close it quickly once your targets are hit.

5. Look to repeat the process on whatever new trading opportunity arises next.

6. End each trading session by reviewing your trades and stats for improvement areas.

And For Automated Forex Scalping?
Gotcha! For automated scalping, trading bots enter and exit positions faster than humans can. Bots react instantaneously when price and indicators match their strategy coding.

Burning Question: When To Scalp?

  • The best time to scalp forex depends on when your chosen currency pairs are most active. Generally the London session between 3am to noon EST offers optimal volatility and liquidity. Scalping during major trading sessions can provide more liquidity and price movements.
  • Pay attention to economic releases and events that can cause sudden price movements.
  •  Look for currency pairs with increased volatility for better scalping opportunities.
  • Avoid weekends and holidays when volume is lower. Scalping profits from active, liquid markets. Schedule your trading accordingly.

Conclusion

In summary, scalping forex aims to profit from minor intraday price fluctuations. It requires speed, skill, discipline and resilience. Follow prudent practices and indicators to boost your chances of success. While it can be profitable for experienced traders, beginners should approach it with caution and practice on demo accounts.

Start manually then consider automating once consistent. Remember that like any trading strategy, scalping carries risks, so always trade responsibly and within your means. Happy scalping!

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7 Best Books on forex trading for Beginner Forex Traders https://sureshotfx.com/books-for-beginner-forex-traders/ https://sureshotfx.com/books-for-beginner-forex-traders/#comments Tue, 04 Mar 2025 04:16:51 +0000 https://sureshotfx.com/?p=5184 We’ve curated a list of the most popular and best books for beginner forex traders that help you learn about Forex easily.

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Are you searching for the best forex trading books to learn about forex trading? We’ve curated a list of the most popular books on trading forex for beginners that can help you learn about Forex if you’re a new trader.

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7 top books recommended for novice forex traders

When it comes to learning a new thing, reading informative books helps us get in-depth knowledge of the topic. So it would be great if you read some Forex trading beginner books before entering the Forex Market. So we have a list of trading books for beginners guide to currency trading.

1. Currency Trading for Dummies

Currency Trading for Dummies by Kathleen Brooks and Brian Dolan is one of the best forex trading books among beginner forex traders. This is a perfect beginner’s guide for Forex traders to learn about how the Forex market works. With this easy-to-understand book, you can get expert advice on how you can become successful and be on top of the market.

  Currency Trading for Dummies Book Cover
Currency Trading for Dummies

2. Forex Trading: The Basics Explained in Simple Terms

“Forex Trading: The Basics Explained in Simple Terms” authored by Jim Brown is a book designed for beginners, providing a clear and easy-to-understand explanation of the fundamental concepts of forex trading. Brown provides readers with a straightforward explanation of the forex market, covering its operations, key currency pairs, and the various factors that impact exchange rates.

The book aims to make complex trading concepts more accessible, ensuring that readers understand important topics like leverage, pips, and risk management. Presenting a pragmatic method, Brown acquaints readers with different trading strategies and techniques, highlighting the significance of discovering a trading style that matches personal preferences.

It also includes important topics like chart analysis, indicators, and entry/exit points. Brown aims to equip readers with a strong understanding of forex trading, enabling them to make well-informed choices and navigate the market with assurance. This makes it an ideal resource for novice traders.

FOREX TRADING: THE BASICS EXPLAINED IN SIMPLE TERMS

3. Day Trading and Swing Trading the Currency Markets

Day Trading and Swing Trading the Currency Markets by Kathy Lien is the book that can help you discover profit-making technical and fundamental forex trading strategies. Kathy Lien is a director of Currency Research at one of the world’s leading Forex firms. Her goal was to help you discover how the interbank currency markets work and how to profit from trends by borrowing strategies from the top players. It is one of the best forex trading books available, providing you with the methods, knowledge, and abilities necessary to compete in the Forex markets.

Day Trading and Swing Trading the Currency Markets BOOK COVER
Day Trading and Swing Trading the Currency Markets

4. How to Make a Living Trading Foreign Exchange

In How to Make a Living Trading Foreign Exchange, author Courtney Smith starts by explaining what the Forex market is and how it works. He also shares six profitable Forex trading tactics, including his own Rejection Rule. Smith also outlines powerful risk management techniques and winning trading psychology strategies that will keep you one step ahead of the game.

How to Make a Living Trading Foreign Exchange Book Cover
How to Make a Living Trading Foreign Exchange

5. A Three-Dimensional Approach to Forex Trading

This book consists of relational, technical, and fundamental analysis to help you understand the Forex market more efficiently. With 3 dimensional analysis, you get the power to learn about the market clearly and boost your confidence.

 A Three-Dimensional Approach to Forex Trading Book Cover
A Three-Dimensional Approach to Forex Trading

6. Adventures of a Currency Trader

If you’re just getting started with Forex trading, with the help of this book, you’ll start learning about the Forex market easily. It is a must and very enjoyable read for any beginner forex trader.

Adventures of a Currency Trader Book Cover
Adventures of a Currency Trader

7. Market Wizards

Market Wizards by Jack Schwager: “Market Wizards” by Jack D. Schwager, originally published in 1989, is a timeless book that delves into the world of financial markets. Within this highly acclaimed book, Schwager engages in captivating interviews with leading traders across diverse financial markets, revealing their distinct strategies, viewpoints, and trading methods.

The book offers valuable insights into managing risks, understanding trading psychology, and the significance of maintaining discipline and adaptability. By delving into the captivating stories of these market wizards, Schwager motivates readers to cultivate their own unique trading approaches and glean valuable insights from the wins of those who have achieved extraordinary success in the trading game.

Market Wizards by Jack Schwager Book Cover
Market Wizards by Jack Schwager
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SureShotFX Hit The News:
SureShotFX has been featured by top U.S. news portals like AP News, Financial Content, Union-Bulletin, and so on. Spotlighting its innovative impact on the trading community. With a 20% discount and all VIP channel access on Eightcap registration, don’t miss the chance to elevate your trading with SureShotFX’s unbeatable Forex signals and trade copier services!

Download The Best Forex Trading Books for Beginners: only at $4.99

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Now you must be thinking that you need to spend a lot of money to buy these books. But I’ve good news for you. There are many free resources that can help you find your books and you can download them for free.

1. PDFDRIVE

This platform is one of the most famous sites where you can find any books in pdf. Just visit pdfdrive.com and search for your book. You can easily find your books in minutes and download them for free.

Conclusion:

Ultimately, exploring the field of forex trading may stir up a mix of excitement and challenges, particularly for those who are new to it.

If you are just starting in the foreign exchange market, reading the 7 books on beginners’ recommended reading lists will lay a solid groundwork for learning the fundamentals of the market, including how to trade psychologically and with strategy. Technical analysis, trading tactics, market psychology, and the stories of prosperous traders are just a few of the many subjects covered in the books we suggest.

By delving into a selection of these books, you can acquire a strong foundation of knowledge and cultivate the abilities needed for prosperous trading. Reading these books can be a valuable investment in your road to becoming a great forex trader, whether you’re just starting or want to review what you already know.

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Can You Get Rich by Trading Forex? https://sureshotfx.com/can-you-get-rich-by-trading-forex/ https://sureshotfx.com/can-you-get-rich-by-trading-forex/#respond Fri, 28 Feb 2025 08:29:00 +0000 https://sureshotfx.com/?p=11993 Can you get rich by trading forex? Well, this is the question that all forex traders ask while trading forex or willing to do. Forex trading can make you rich if you are a next-to-perfect skilled forex trader. But for the average forex traders, it is next to impossible to get wealthy by trading. The...

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Can you get rich by trading forex? Well, this is the question that all forex traders ask while trading forex or willing to do. Forex trading can make you rich if you are a next-to-perfect skilled forex trader. But for the average forex traders, it is next to impossible to get wealthy by trading. The road of forex trading can be very tricky and rocky for them.

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Reasons of Not Getting Rich by Forex Trading?

For average and retail forex traders, forex market is not a place to get rich. There are several reasons which we should look into while thinking about that-

Forex Trading Is Not a Get-Rich-Quick Scheme

Traders who think that forex market is a place where he will be investing in forex and within a month, he will be wealthy, they need to quit this thought. Forex trading is a skill that forex traders need time to learn.

In this field, veteran traders can make good money, however, a full time job holder cannot get success overnight. Forex trading is not a piece of cake. You need time, energy, patience and knowledge to grab it.

Volatility

Volatility refers to the price fluctuations of assets in the forex market. It measures the difference between the opening and closing prices over a certain period.

Investing in forex can be rocky for the traders as forex market can be quite volatile from time to time. The market gets affected by the news and events around the world. During news, market gets sloppy and unpredictable. So, it is quite possible that an average trader will lose his trading balance while trading forex.

Market Manipulation

Market manipulation refers to false inflation or deflation of the price of a security. The aim of market manipulation is to capitalize on favorable false market movements for personal interest.  Big players like banks, corporations do the market manipulation for their own personal benefits.

As an average and retail trader in the forex market, you will face market manipulation while trading forex. So, it is quite natural that you face losses in trading.

While most traders think to be rich in forex trading, some traders think about its profitability.

Is Trading Forex Profitable?

Yes, trading forex is profitable if you follow proper trading strategies and risk management. There is no limit regarding how profitable forex trading is. There are some basic but crucial steps that a forex trader needs to follow to be profitable in forex trading.

Increase Your Forex Knowledge

Many traders blindly follow different strategies to be profitable in trading forex. Besides, some of them don’t read the market properly and just enter the market. The point to be noted that without having the proper knowledge about forex trading, you can never win the market.


Learning about forex is the fundamental aspect of the trader’s success. A trader needs to be curious and patience with his learning. Most traders start learning trades but lose patience or interest in the middle of the learning journey. Many of them don’t up-to-date themselves about the news around the world. So, if you are looking for success in forex trading, you need to be curious.

Control Your Emotion

Controlling your emotion while trading in forex is the one of the basic needs that a trader needs to have. It is quite natural that you will face the losses. Getting angry or depressed while losing money in forex trading is not acceptable. You have to keep your mind cool and look for the opportunity to recover the losses.


Many traders follow revenge trading when they lose money. They just want to get back what they have lost. The let their emotion take over and start trading without considering the market. In doing so, they lose more money. So, keeping emotion in check is important to be profitable.

Choose Your Solid Strategy

In forex trading, choosing your own solid strategy to be profitable is a crucial step to take. While most traders try to follow different strategies to follow, learned traders first find out their own strategy to follow. You need to find out what kind of trading strategy is appropriate for your trading balance.

To find out your own strategy, you can practice the strategies on a demo account. In this way, you will be able to find a solid strategy that works with your trading. Besides, you will be able to learn more about the forex.

Find a Good Broker

In forex trading, choosing a good broker is important because through them, you will be trading in forex. A good broker is crucial to choose because of the safety concerns about the deposit and withdrawal.

Besides, it is important to research broker’s offerings, including leverage, commissions, spreads etc. A trader needs to check if the broker is regulated or not. Besides a friendly customer service with proper information is needed.

Limited Technical Analysis Tools

Well, while reading the market through charts, it is important to use technical analysis tools. Although there are many technical tools in the market, but it is needed to keep its using to limited.

Using multiples of the same types of indicators are not mandatory to use. If you use two indicators of the same type, it will provide you confusing reading about the market and at the end, you will be the one losing money.

Reasonable Risk Management

Following proper risk management in forex trading has been the fundamental step from the beginning. A trader should take risks that he can afford to lose. Many traders take unreasonable risk against his trading balance out of his greed and at of the end, he blows his account with one or two trades.

So, when start trading in forex, a trader needs to go small with money and risk. He should be investing in forex the amount he can afford to lose. In this way, a trader can evaluate his trading plan, emotion.

Ending is here!

Well, it is quite proved that getting rich by trading forex is not possible. But a trader can definitely be profitable in trading if he maintains basic steps in trading. Many veteran traders have accepted forex for a living source. But those are average traders can take help from professional traders to take trades. SureShotFX provides free forex signals and free gold signals from their professional traders. You can try them on your demo account and learn trades from their analysis.


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