Almost all the people that start trading forex are aware than more than 90% of all retail traders wipe their first accounts clean. If you have read any web page or book about this market, that statement should not surprise you. Taking a profit in the foreign exchange is like trying to grab a golden coin that sits at the bottom of a pool full of piranhas while a million other people try to do exactly the same thing. It is not easy, not even with the right education. The forex market has wiped clean economists, finance specialists, stock brokers, you name it, they have killed their accounts using forex.
What makes everyone that starts in forex think it is so easy ? Well, human nature for one. You never think that the bad things that happen to other people happen to you, even if chances are highly against you. What makes you better than the other traders ? Another important thing you must think about is that the 90% that lose their accounts are by no means stupid. They are, as or better prepared than you. So again, what makes you so special ?
In fact, nothing. The most important thing in the forex market is knowing how to handle your own psychology and as you know, most traits that make you successful in life, make you wipe accounts in forex. For example, being stubborn and having perseverance, holding on, being ambitious, etc. This personality traits are most certainly going to take you down, sooner or later. That is, until the market baptizes you with your first account loss, then you should have taken a lesson.
But how do those 5% that have managed to make some profits out of the forex market do it ? What in the world made them so different from the rest ? Well, most of them did not trade their first account alone. Of course, if you have someone by your side to tell you "hey, that is stupid", "hey, don't take that position", "hey, stick to the system", then things will look much better for you since you are being walked through your first experience on the market. So for all those forex newbies out there, find someone who has traded for a while and start trading with them, side by side, chances are you will both be profitable.
In my experience, a team of three people is ideal for trading. You get three different analysis plus you get two safes against stupidness. It is much harder for three people to become emotional and act erratically than it is for a single person. When you get more than three, things start to change a little as group emotional factors start to kick in and another type of stupidity arises (like a mob mentality).
So go out there, find a trading buddy and start your profitable forex career. If you would like to learn more about automated trading systems (expert advisors for the metatrader platform) in order to trade without any human intervention please consider buying my ebook on automated trading or subscribing to my weekly newsletter to receive updates and check the live and demo accounts I am running with several expert advisors. I hope you enjoyed the article !
What makes everyone that starts in forex think it is so easy ? Well, human nature for one. You never think that the bad things that happen to other people happen to you, even if chances are highly against you. What makes you better than the other traders ? Another important thing you must think about is that the 90% that lose their accounts are by no means stupid. They are, as or better prepared than you. So again, what makes you so special ?
In fact, nothing. The most important thing in the forex market is knowing how to handle your own psychology and as you know, most traits that make you successful in life, make you wipe accounts in forex. For example, being stubborn and having perseverance, holding on, being ambitious, etc. This personality traits are most certainly going to take you down, sooner or later. That is, until the market baptizes you with your first account loss, then you should have taken a lesson.
But how do those 5% that have managed to make some profits out of the forex market do it ? What in the world made them so different from the rest ? Well, most of them did not trade their first account alone. Of course, if you have someone by your side to tell you "hey, that is stupid", "hey, don't take that position", "hey, stick to the system", then things will look much better for you since you are being walked through your first experience on the market. So for all those forex newbies out there, find someone who has traded for a while and start trading with them, side by side, chances are you will both be profitable.
In my experience, a team of three people is ideal for trading. You get three different analysis plus you get two safes against stupidness. It is much harder for three people to become emotional and act erratically than it is for a single person. When you get more than three, things start to change a little as group emotional factors start to kick in and another type of stupidity arises (like a mob mentality).
So go out there, find a trading buddy and start your profitable forex career. If you would like to learn more about automated trading systems (expert advisors for the metatrader platform) in order to trade without any human intervention please consider buying my ebook on automated trading or subscribing to my weekly newsletter to receive updates and check the live and demo accounts I am running with several expert advisors. I hope you enjoyed the article !
Posts
No comments:
Post a Comment