Legality of Forex (basic forex)

Previous article about the legality of Forex Trading & Brokerage in Indonesia has been explained about the regulations to the Local Broker in the country (Indonesia), the next question is how to Brokerage Foreign Affairs. At the time this article was written the development of the world of forex trading in Indonesia especially for the online forex trading has gone through several phases.
Phase One, Introduction to Online Forex Trading in Indonesia at this phase of the online forex trading is introduced by a local brokerage companies that provide online forex trading facility.

Phase two, in addition to local brokerage firms are starting to provide online trading facility, an alternative option for trading with overseas brokers began to emerge, with Indonesia began to familiar in a variety of good Overseas brokers are legal or illegal status
Third Phase, forex trading mini contracts cleared in Indonesia so as to local brokerage firms only contract the Regular / Standard. This causes investors who still want to trade with a mini contract choose to transact with foreign brokers
Existing conditions of this writing is a local brokerage firms only provide trading facilities for contract Regular / Standard (where 1 lot = 100.00 or 10 times the mini contract), and foreign brokers both legal and illegal are still actively promoted. And since this article discusses the legality of the Foreign Broker, we will focus on topics Legality Foreign Brokerage firm.
The thing to note is that the Forex brokerage firm that flourished Foreign and looks very aggressively by providing various advantages and often bonuses, among other

    Minimum deposit is very low
    Bonus $ margins so that the make deposits of funds
    FREE commission
    Low Spread
    Funds transfer mechanism that is easy, via Credit Card, BCA, Liberty Reserve, e-Gold
Now all the advantages of the above sounds interesting and very beneficial for potential investors, but there are some things that actually warrant concern
Initial deposits are Very Low, it is generally governed by the regulatory body that the minimum initial deposit broker must reach a certain amount, this is done because forex trading is a high-risk investments that generally regulators and regulatory bodies to determine a certain extent because forex trading is not suitable for everyone, especially for those who have very limited funds, the aim is to protect its customers also
A few margin bonus $ ... if you do deposit a margin of $....., prkatik it is similar to the time this article was written emerging in Indonesia, such as cashback or bonus program of the bank if the deposit some money in a deposit / savings on condition must not be withdrawn during the period specific then you can get immediate cash prizes, cellphones, Blackberries, notebooks up to the car. Banks can do this because the actual funds used to provide gift / cashback is through the calculation of interest will be received in the future. But how to forex brokers? Regulators in favor of the investor generally governs how to promote brokerage firms and prohibit practices that promote excessive and misleading. Because forex trading at high risk, then the promotion in that way is not allowed because it could affect potential investors who are still ignorant to immediately open a Real Account, but prospective investors should understand first the mechanisms and risks of forex trading. After all we have to worry about is if a broker gives you some money when you perform at a certain value deposti while they do not charge a commission / transaction costs and the spreads are very low, the question is HOW they can bear these costs?
Funds transfer mechanism that is easy, via Credit Card, BCA, Liberty Reserve, e-Gold. Generally brokers under the regulatory official is only allowed to conduct transactions via the payment method and clear certain legal existence such as Credit Card and Wire Transfer payment method alternatives, while international like Liberty Reserve, e-Gold was not allowed because it is not an authorized payment method is not diregulasikan alias. If a bank or Credit Card then under the supervision of the central bank such as Bank Indonesia or FED (U.S.). However, for alternative methods of payment does not have a regulator who oversees the practice of their operations so that at any time if they close or commit fraud then there is no control.
Modus Operandi
So what if I'm trading with brokers illegally, are there different 'real' it? This question often arises from traders who are trading at a brokerage that is illegal, there are several modes of operation generally occurs in illegal brokers, because they are not under the supervision of the Regulatory Agency official then the following things can happen at any time

    Pembandaran: counterparty trader is the brokerage firm itself, if your brokerage firm will profit loss, if you loss the brokerage firm profits. Well the problem is if you keep profits and brokerage firms keep loss, no company is prepared for continuous loss, and here have become like the bookies, where transactions that occur between you and the only apparent rather than a brokerage firm with a market.
    Funds can not be drawn: since the above conditions then we will see that when the profit, the funds can not be / difficult / complicated to be withdrawn because the transaction is not routed to the market so that payments must be made profit from the pockets of a brokerage firm. Would generally appear a variety of reasons that essentially hard-profit funds are withdrawn or they simply silence any request or complaint.
    Anomaly / anomaly in the trading platform: good when the market suddenly the system freezes, not profit-taking orders to get in, and various other creative accident to prevent you from getting the profit. But when the market specifically for crowded / hectic, especially when the news release system disorder is a natural thing due to the entry of transaction orders are very much at the same
    Supervision pseudo: pseudo-listed on the regulator body formed by his own brokerage firm brokerage firm in the interests not the interests of investors
The things above are the real things that happen when you really find out about the difference between Legal and Illegal brokers, we have often listened to 'vent' the victims who lost funds, the transaction eliminated profit or profit funds can not be drawn with various sorts of reasons, it does not go clear solution plus there is no place to complain.
We, in this case as a portal belajarforex.com education in Indonesia is also often get different offers to cooperate with various brokerage firms, usually accompanied by many the lure of convenience and a tempting offer, but after we do the research background, track record and legality , if the results we found that the results are not satisfactory then we reject all of the offer.


Tips
Well now how to tips for choosing a good broker overseas,

    Choose only the broker who listed the countries that have regulatory authority / regulator set up for the benefit of investors rather than for the benefit of brokers, among others:
        United States
        Australia
        English
    Especially for the brokers registered in the United States under the supervision of the NFA (National Futures Association) and CFTC (Commodity and Futures Trade Commission), reason is to become a member of the NFA broker must have a fund of minimum net capital $ 20 million and if there are complaints of investors and brokers proven guilty, the broker can be fined a nominal $ 100,000, this course will make those who have funds under the penalties are more secure, because the value of fines, and of course the ultimate goal is to prevent brokers to do practices that are not true.
    Make sure you know the mechanism to make complaints to the watchdog
If you have any doubts about how important in choosing a foreign brokerage who has legitimacy and credibility that is good then you can read the story of Mr Blake nor Mr Amir's story,