Most lose because of the following reasons..
your system is not profitable..
you can't follow your own profitable system because you get either too greedy or too fearful.
Simple reasons why most traders fail.
Remember that it takes an individual 10,000 hours to be considered good at anything. A pro athlete, a singer, a race car driver a CEO.. etc.. Same goes for being either a manual trader or an EA developer.
happy pip hunting!
Lack of training to understand this forex animal .. would be the biggest cause of losing. Winning is hard. Get a mentor .. who does not make money from teaching you !
you can check free signals on Twitter/facebookfrom 'breakforex'. 1600 documented pips in last 5 months!
Hmm there are lots of reasons.
I'd say the main one is a chronically poor strategy and poor information.
Look how an institution trades, then compare that to a retail trader.
And thats before you look at how the retail traders pricing is operated eg high spreads etc.
Its partly down to them taking 10 pips a few times, then living in hope waiting for a 500 pip loss to turn round.I'd call that bad risk management.
But really, I think u have to have good, no EXCELLENT data/rules in 5 or 6 areas to succeed.
Reading a "forex tip" then trading with bizarre risk-reward or spread cost will kill a newbie in no time.
So many newbies are trading in little more than guesswork. They used to say "the trend is your friend".Well ok, but it ain't no indomitable superhero..!
Will you be kind enough to sharew your market wizard ebook please
I feel that we are misunderstanding each other. I am not saying that you should simply open up a trade and "faith" it into a profit. That may or may not happen, but that is not a good approach.
But if I hand you a system that I can prove is profitable, and you can not make a profit out of it, YOU CANNOT BLAME MY SYSTEM.
You can only blame your self.
That's all I'm trying to say. Success happens in ourselves first. Be it lack of understanding or lack of "faith," it is not the system that failed, it is you.
I'm not claiming to be a prodigy at this. When I first started trading I lost many thousands of dollars. So let me point this out. If trading is the only way you have to make money, you had better be REALLY GOOD AT IT. I am a quality assurance auditor. It is my job to recognize what people are companies are doing well at and what they are not. You don't make money off of something you're not good at. So if you think you're going to take up trading with no knowledge and support yourself...
I hope that you have a rich wife.
This is hard stuff. All I am saying... and please don't get all angry again, because I don't see how that is necessary... is that if you do not have faith in what you are doing, then you need to do something else. If you don't believe that you will get more profitable signals than negative signals, then aren't you wasting your time. We're here for profits, not losses!
If you don't have faith in what you're doing, something is wrong. Either you're not doing it right, or it, in itself, is not right. I don't know. I hate bickering. But I'm not going to have you knock on a perfectly legitimate statement that helped me become good at what I do, because I know it can help others too, and in the end that's all we're here for. Folks, don't listen to him. Forex is a beast, but it's not a monster. You can tame it. You can own it. But if you think you're going to learn it in a month and have it be your only source of income, I can only hope you are really good at it.
Your English is perfect, as the Werander's.
My mother don't speek English, and my English is bat,
but this AH whant to kill everyone if your motherthong is noth English.
Just look his avatar-Rambo MT4.
I had to stop reading and reply to this:
Does this single statement seem wrong to anyone else? First of all.. why own a business (that presumably the owner either thrives or fails, thus surviving, on) that the owner doesn't have faith in? And if I was a jackass going into the forest (which btw, I'm highly into wilderness survival) and I'm carrying a flint... I'm guessing I would know how to use it.. and in knowing how to use it, I would know that it will work because I know how to make it work... I don't have to "hope that it works".
Hope is an emotion. Forex Trading, or any other investment trading, needs to be an emotionless venture. You don't "hope" because you've practiced your strategy. You've spent time developing it, understanding it, tweaking it. Emotions cause mistakes.
There are intuitive traders and there are system traders (as the philosophical poster mentioned). But, those intuitive traders didn't get that intuition out of nowhere... they learned and understood and watched the market. From that point, with a base of knowledge, intuition kicks in. System Trading is the same thing, but without "intuition". It's using a system that's been tried and tested based on knowledgeable actions of the market and then following that system to the letter.
The philosophical poster that this quote was replying to was completely correct... He said to have faith in the system you're using, not to second guess it. But, before that, he also hinted that you should have tested your "system" for months and know that it works according to design. If you've done so, then there is no "hoping it works". It's all about sticking to the system and not diverting from it.
Anyway, back to reading the rest of the thread. I just had to post about that because when someone is trying to help people, and they get flamed for it.. .the flamer should at least make reasonable sense. Just my two cents.
I think, the following points are behind the loss in forex trading.
1. More expectation
2. Not having sufficient knowledge of trading
3. Not having control on emotions
you can't win -- simple as that
people thinking of picking penny while borrow huge credit card debt -- the way that we see little winning and witheld and forget big losses (not exit yet) -- these are newbies
if you can handle loss -- then GO FOR IT -- if you are clueless, then stay on demo, have fun learning chartings
If I knew why I keep losing in Trading I would just have to do the opposite and win... hmmm maybe I should try that.