Over the past few weeks, I have seen many postings referring forex as a scam or as an equivalent to a casino game. I do have some difficult time trading forex myself, but I don't consider forex a scam, but then, I have been wondering why people mentioned that forex is difficult and now I have found out why. It is definitely not the leverage, because with proper risk management, leverage could enhance profitability. It is not the broker, because one could switch to a better and more reputable broker. However, I have finally understood that the reason why forex is so difficult is because of the spread. The spread is the revenue for the broker and it also protect the broker from price volatility. The higher the volatility for that particular instrument, the higher the spread. The higher the spread, the harder it is for intraday traders to profit from the volatility. If you look at the ATR of a particular instrument and look at the spread, you will see the spread occupy a significant portion of the trading range. To daytrade that is like trying to daytrade stocks with a $30/trade commission. However, it doesn't mean that traders can't profit from forex. It just means that traders need to trade in a longer time frame with a well planned position-sizing strategy and patience to wait for the right opportunity. I hope this will help other struggling forex traders. PA PS: It would be <b>relatively</b> easier to trade stocks.