Brian McAvoy compares forex trading to hustling in poker or pool, warning that some brokers use demo accounts to lure traders into risky live trading. He argues character and skill matter, and promotes the Trading Pit club to teach traders how to avoid getting hustled.
You. Hi, Brian McAvoy here with Inside out trading. And today's question is, is forex trading? Well, forex trading in particular, but is trading really just kind of a white collar hustle? Now let's take a look at hustling as it pertains to, say, poker or pool and see if it's true. Now, in poker, the way a person will usually get suckered into a hustle through poker is the hustler. They'll invite the person over to a friendly game of poker. It's fun. We're just getting together to have some fun. And so the person sit down at the table, and they'll start off either playing for nothing or maybe penny antipoker or just a buck of hands, something really comfortable for the proposed hustle ee and they let him win. And they're sitting there saying, oh, yeah, man, you just got the magic touch today. You can't lose. You're good at this. And they get them all hyped up and they're having fun and they're winning some money, and it's just really a grand time for the hustle league. And it doesn't take long until the hustler, once they kind of feel them out and they see, yeah, okay, they're hooked, they're working most of the time, and they start raising the stakes. So now they're playing for 5 bucks a hand, 10 bucks a hand, maybe 20 bucks a hand. And the hustler waits until the stakes are up their ways. And they let the hustler just keep winning, and they're having a good time and they're all caught up. And then they start taking them for 20, 30, 40 bucks at a time. Now, what the hustler's looking for is they know that the hustle e they've gotten hooked. And now even though they're starting to lose, maybe even they're starting to get a little angry. It's like they know that they're hooked and they're going to stay in the game because now they want to win their money back. They're a little hurt. They're wondering what's going on, but they know they can win. And they were winning a minute ago. They got that magic touch. So they'll stay in the game pretty much until they're cleaned out. And that's what the hustler is looking for. It works the same in pool. Invite them into a friendly game, make it easy at first, Let them have fun, build their confidence, suck them into the game, and then go and raise the Stakes now with Forex trading the way quite a few brokers, not all of them. Don't get me wrong, there are good brokers out there, but I've also talked to a few Forex brokers directly, and it's sad and kind of funny at the same time, but they know this. They're fully aware of it. They know that, yeah, this is pretty much the same thing. What's going on when they're bringing people into Forex trade, you know, they say, you know, hey, come on over, open up a demo account. And you know, we're watching these markets and you know, they get you having fun. You're building your demo account up real nice. And then they say, oh, you know, you're doing so good. You're good at this. You know, you've got the touch, you've got this thing figured out. And then, you know, then they say, well, you know, gosh, you know, you're so good, we got to quit playing with play money. Let's get you over here with real money so you can start taking this to the bank, which is only natural. They know that they're only going to be making money when you start placing trades, so they're anxious to get you to that point as soon as possible. But some of them, they're very clever about it, so they move you over into a live account, get you trading with real money. And they know that, yeah, maybe you'll hit a winner early on. And even with your losers, they know that you're hooked up. And every time you lose money, there's part of you, just like with a hustle, part of you is mad, part of you is hurt. You want to win your money back, and so you're going to keep placing trades because you want to get that money back. With a lot of brokers, they'll just let you keep going and not protect you until you've blown out your account or at least taken a severe beating in your trading. And they're fully aware of it. That's what's really wild. And a couple of guys that I talked to, like I said, they're fully aware of it. And how they can sleep at night, I don't know. But apparently they figured out how to deal with. They know what they're doing to people. So anyway, if you can relate to any of this, the first thing I would suggest to you is if you've never seen the movie the Hustler before with Jackie Gleason and Paul Newman. Great movie, very entertaining. Good lessons for traitors in that movie. But in the Hustler, at one point in the movie, Paul Newman's girlfriend says to him, eddie, it takes more than just skill to win. It takes character. See, Eddie knew he was good. He knew he could play with the best. He had that level of skill, but he lacked the character as a pool player to really go to that level and take Minnesota Fats off the top of the hill. And of course he didn't figure it out until the end of the movie. And sadly, she had to die along the way. I mean, that was his sacrifice. I mean, even Eddie said, yeah, and I traded her for a pool game. So it was really sad. But anyway, the point of it is that was the hustle. I mean, the Hustler is the name of the movie and that's the whole thing. And the lessons learned there are, like I said, just like with this, it takes character to win. Hustlers know that they can present the game as easy to play. And a lot of forex brokers, a lot of companies out there, they put it out there. Yeah, it's easy, sure, it's easy to play, but it's not so easy to win. And that's the whole point. It does take character. Now if you can relate to any of this, then I invite you to check out the Trading Pit club. The Pit stands for professionals in training and it's a club dot or form. It's actually a training class, a six month training session where we focus on giving you all those personal and business skills to take you to the level where first of all, you can identify when you're being hustled. Now you know how to play the game and win the game. Not just play the game, but you know how to win at the game. And that's the whole point, is to give you those personal and business developmental skills and also some particular trading skills so that like I said, you know how to win the game, not just play it. So swing on over to InsideOutTrading.com PIT and check out the Trading Tech club. Like I said, if you in any way feel like that did kind of get hustled, then maybe this is what you're looking for. If you want to go ahead and stay with trading, check it out. I'm sure you'll be glad you did. Have a great weekend. Cheers.
