THE RISE OF FOREX SCAMMERS IN SOUTH AFRICA

For the past few years in South Africa forex has gained alot of popularity and hype amongst the people of Africa. Forex caught the attention of many people from the age 16 to the age 40, forex really only started becoming a big thing in South Africa around 2015. Before 2015 not many people were aware about the foriegn exchange market nor how it works.

Since then popularity grew amongst young South Africans. Social media, specifically, Instagram had many young forex traders showing off their lifestyles, cars and money. This caught the attention of many people between the ages of 16 & 30. These forex traders on social media were not only showing off their lifestyles but they were marketing it too, they were promoting forex courses that promised financial freedom, mocking 9 to 5 workers. This marketing strategy caught the eyes of many South Africans, thus when the rise of scamming begun. As South Africans poured into the forex industry thinking it‘s a “get rich quick scheme”, many South Africans were left disappointed when they realised that forex was way harder than they thought and that it takes alot time to become profitable. Besides them finding out that it was harder than they thought, many of the forex traders that were promoting forex courses weren’t the best teachers at it, although the lifestyle they portrayed on social media gave people the idea that they were the best of the best. Many of these traders were useless teachers, this led a big number of unsuccessful traders.

In that number of unsuccessful traders, some of them decided to do the exact same thing as the Forex Traders on social media. Many of them started there own forex companies on Social media with the exact same marketing strategies such as posting pictures of money and fancy cars. Around this time many more people became aware of forex and was buying these courses which led to many people wasting tons of money on different forex courses and forex signals. It became apparent that atleast 85% of retail traders in South Africa were unsuccessful, including the people with the best cars and houses, majority of them were either born rich or made alot of money through selling useless courses that taught almost nothing. There are a very few legit forex companies in South Africa that brought up successful traders thus resulting in the amount of scammers in South Africa outweighing the amount of legit traders by a massive difference. The easiest way to tell if someone is a forex scammer is when they introduce themselves as account managers.

What are account managers？ People who offer to trade for you. Account managers are usually people who don‘t have money to trade for themselves so they offer to trade for other people hoping they get lucky enough to make money for them and their client, this usually ends up in tears as the account manager usually blows the account and ask for more money in order to “release” the funds or they block their clients from contacting them. You’re safer trading on your own than giving someone else the responsibility of growing your money, the cold truth is 90% of these account managers dont care about your funds, they just care about the moment they get their hands onto your funds. In fact I've never came across a legit account manager in South Africa, but I have came across many account managers. In conclusion KEEP YOUR MONEY AWAY FROM ACCOUNT MANAGERS.

How to tell the difference between a forex trader and forex scammer

● Real forex trader - shows off chart work.

● Forex scammer - shows off money.

● Real forex trader - shows off their knowledge in forex.

● Forex scammer - shows off their lifestyle.

● Real forex trader - doesn't make all their money off courses so they barely brag besides when their charting analysis goes as planned.

● Forex scammers - are always focused on marketing so they can attract people to buy their course and make money off them & usually also persistent with people when people are interested in their course.

Most forex scammers come from wealthy family's but usually tells made up stories on social media to trick people into thinking they were poor before forex, and that forex is the reason why they're rich. Not only do these scammers focus on selling courses but they too sell so called trading “softwares”, which usually never work! Trading on your own is much better than trading with these softwares that usually generate little to no money at all.

In conclusion, becareful of the forex industry in South Africa there are many scammers desperate for you to take their course, signals or softwares. All the information about forex can be found on the internet. If you are looking for a proper forex mentor, instead of looking at the traders lifestyle, look at the traders work ethic.