Why do bankers say forex is a scam?

[BlueFalcon]

The a good strategy for an independent (I prefer this word instead of “retail”…) trader is to find a strategy that make BOTH him and the associated broker earn money…

[Excel04]

Thanks for your explanation.would you please tell me, who pays traders when they are profitable, is it the brokers or the market. I knew the money will go through the brokers to the trader , but who in particular give the money ?

[AliForexTalks]

I disagree; forex trading can never be a scam; it is a means of accumulating wealth. Furthermore, it’s possible that your banker pal refuses to believe that there is another way to make a living.

[forexforexforex]

@Excel04

Thanks for your explanation.would you please tell me, who pays traders when they are profitable, is it the brokers or the market.

Your broker is your counterparty, the middle man, facilitating your buy/sell trade and pairing it up with somebody else’s buy/sell trade. If you’re “winning”, somebody else is “losing”. The losers are paying the winners. I’ve oversimplified for sure.

Have a read.

Who is the counterparty in an exchange?

Hello everyone - When a retail forex trader longs or shorts a currency pair on an online platform like Forex.com, who exactly is his counterparty? Is his broker also acting as a “dealer”? If so, how is the broker always willing to engage in a transaction? Do they have some hedging or offsetting strategy? Thank you for your help.