If you’re trading financial derivatives, then you’re sure to have visited websites, forums or groups of other derivatives traders. There, you’ll see a lot of traders showing screenshots of their winning trades, some just a few dollars, while others show records of thousands of dollars.
But have you noticed that no one there is showing you how much money they have in their bank accounts?
This is because anyone who shows you their winning streak has an ulterior motive. The real money earners in trading do not need to show off their wins.
This article will discuss a different side of trading. Specifically, we’ll discuss how potential scammers outside the Binomo platform can lure you into giving up your hard-earned cash by baiting you with their experience and their wins. In this article, we’ll tell you how they do it so that you can avoid these scam traders.
Successful traders don’t brag about how much money they have in the bank
If you don’t know this yet, then now would be a good time to be informed that in order to trade any kind of financial derivatives you need to be able to master your basic emotions and instincts. Psychology is much more important when it comes to trading than most of our everyday decisions.
So why don’t you see traders who show you how much they have in their bank account? Because the real earners in the industry have absolutely no reason to do so.
Who has reason to show you consecutive winning streaks? Those who have ulterior motives. Often, these people will “help” you win trades in exchange for a certain fee. Or they may be selling instructional materials for a premium in order for you to increase your balance in the trading floors.
In short, they’re not showing you their bank account because they probably lost the money they earned at their trades – the only money that they earned is the money coming from you. Having several consecutive winning trades is uncommon, but it does happen. In short, it’s normal especially among people who’ve been trading for a long time. But the real question is – have they withdrawn this much money from Binomo? Did they really get to keep this or did they lose it all somewhere down the line?
This is to say that, those screenshots of their wins that you see around mean absolutely nothing.
The only way to check a trader’s claims
There’s a simple way to check the facts of those people who are claiming to be experts. If you can, just get their bank account numbers – and it’ll be easy! Just go to the bank and present your number and ask for a check of the finances.
Of course this is not going to be that simple all the time. But there’s still something that you can do. Odds are, these players presenting themselves to be trading experts will have shown you screenshots with their winning trades. If they’re legit, these screenshots will contain reference numbers from the transaction between Binomo and their bank. With these numbers, you can then check specific transactions and the contents of these transactions – whether or not they’re really earning the amount that they say they are.
How much do these Binomo experts actually earn?
You will see a lot of these “expert traders” around on social media trumpeting their own greatness, showing other people how great their lives are. Some will lure beginner traders by appearing to win a lot of small trades, and saying that if he can do it, they can do it too.
Yet some wannabe experts are more daring. They livestream their “real” trading accounts, and then they place orders amounting to thousands of dollars as if it was nothing. They’d act like this was normal for them, making them look like an accomplished master in trading financial derivatives.
The truth is – this is very easy to do with a few tricks. You see, even real accounts automatically revert to demo balances when it runs out of funds. And what’s more, there’s basically no distinction between the two if you can accomplish this. So that’s how they can place trades in the thousands without any fear.
Simply put, the account has had real money once but now the function of it has become like a demo account because it ran out of real money.
This is why, as we have stressed again, if these trades are real then they should be able to show the transaction details, such as the amount that is withdrawn and the reference number of the transaction.
How scam traders trick those on Binomo
As mentioned earlier, because these scammers cannot win with real money and put real currency in their bank accounts, they instead employ a lot of tactics in order to scam money from honest financial derivatives traders.
Below, we’ve outlined several ways in which they do this.
1. Selling instructional materials like books
You may have seen “expert traders” sell books worth several dollars on social media, or in the forums and websites you’ve visited. Now, generally it’s fine to spend money on useful knowledge – but the real question in this situation is, is it worth it?
Most likely you will discover that there is nothing new in the book. They’re merely copy-pasted material from online resources that you could have easily searched for yourself and for free. This is lost money and time that you can never get back, so it’s much better to research by yourself on the internet. There are a lot of websites that will freely give away these kinds of information without you having to pay a cent.
2. Pay for training and courses
This is another variety of the instructional material scam.
A few dollars here and there don’t seem so bad for a “derivatives trading master course,” but if you really think about it properly, are you really going to spend that much money to learn one method? Plus–and this is a fact–you will not become an expert trader in a matter of days or even weeks, no matter the kind of “master course” that you go through.
The real skill comes from experience. There are traders of years who still do not consider themselves masters. So we ask again – are you sure you want to pay for a course that would do basically nothing?
Most of the time, your “master course” is concluded with the statements “you have to use your demo account regularly to gather experience”, or “this technique will work best if you have a large initial investment in order to profit when folding the order” – which are all basically other ways of saying that “we didn’t teach you anything, so we’re going to make up a reasonable-sounding excuse in order to take your money.”
Or even worse, they will tell you that the course was merely an “introduction” or a “basics course”, and that the real secrets will be revealed in the next installment of the course, which will, of course, be priced higher than ever.
They will never run out of ways to fleece money from you and make excuses for when you’re not getting results. But remember this – the single best teacher is experience. And with experience, you don’t have to pay for anything.
3. Pooling your money in unprofessional “investment funds”
This is when you, and a bunch of other people, agree to give your money to a “manager” so that they will be the ones to manage your “fund” for a small fee, and you can all gain profit when there’s profit in the fund.
Basic investment funds found in large banks and other financial institutions basically work like this – the only difference is, with banks, you’re giving your money to someone who is qualified. In this scenario, you are giving your money to a complete stranger who probably faked their way into becoming a “teacher”.
This is a marvelous way to get yourself ripped off. Not just from the fees you give the “fund manager”, but from losing all of the money you invested as well! Pyramid schemes are run like this, and if your group is asking you to recruit more people to pool your funds, then you should get out of there immediately. It’s a pyramid scheme and nothing good will come off it.
In the best case, the guy managing your fund is not the ringleader of a pyramid scheme, but he or she is still far, far behind a real account manager. Account managers in banks have years and years of experience, studies and other things to prove their qualifications. This guy that you met on some social media just has several screenshots worth of evidence.
The two most likely outcomes from this scenario are that the pyramid scheme collapses and you lose all your money, or your “fund manager” makes overly aggressive ill-informed decisions, and you also lose your money anyway.
How can you actually increase your account balance?
At the end of all of this, the question still really falls on you. How can you actually increase your account balance?
Are you someone who wants to increase their balance fast, regardless of how it’s done? Then you will most likely fall prey to the lots and lots of different kinds of scams all around. There are “teachers” and “gurus” and “financial derivatives specialists” that abound, all you need to do is look at the internet. Some of them seem to even actually teach something. You might even fall to the scammers, the social media investment fund managers. They all prey on people who want to get rich quick.
Or do you want to earn money through your own efforts? This is hard, the road is difficult. You have to study and gain experience, and it’s going to be a slow and painful–and sometimes even costly–process. But the result is ultimately going to be yours and yours alone, and you will be better than who you were yesterday. There is a saying “chase excellence, and success will follow.” This applies to trading as well, same as anything else.
So we ask again: which one are you?
If you have questions, comments, or suggestions, head on over to the comments section below and talk to us! Make sure to sign up for a free practice account on Binomo to start your legit trading experience!
Good luck on your trading journey to Binomo!