Forex trading is nothing more than a game of chance ~ Forex trading pip

Tuesday, June 21, 2011

Forex trading is nothing more than a game of chance

1:11 PM

Forex Bond

Consider the following scenario, two traders are randomly selected, are provided with two identical accounts trading the same trading software, forex trading system the same, exact entry and exit rules and are also asked to act on the market itself.

We monitor them 30 days later, they get the same results?

Forex Trading Pip

Far from our first dealer could win 15%, while our second largest, could be 40% in the hole.

I find it interesting because it works in this wayhow different people get different results, although they too have the same resources.

Here's a simple truth that many dealers can not understand the forex is a game of chance. You've probably heard that before and in this article, I would recommend this topic in a simple and easy to understand explanation.

Suppose we flip a coin, win the "code" you and "heads" win. If we are long enough, as we both have a game balanced. Although the results are random, there is a 50-50 gameand then either win or lose. This is easy.

On the contrary, when I heard a sound money, which means that casts of 100, this coin "heads" 55 times "number" only 45 times, as I had an "edge" over you, or someone who is playing ground " Heads or Tails "against me.

Sooner or later I will win all your money. For me, this is a game of chance, until I guarantee you the challenge "head", I'm going to win. This is a certainty,right?

Unfortunately, when it comes to Forex trading is where many traders are wrong ...

Forex trading success is not to take ups and downs. This is not to squeeze every last pip of a trend. Although it looks nice, looks nice, not at all sustainable, profitable Forex trader.

A good forex system trading is simply a set of rules when it repeats over and over is also a favorable trend trader makes a trade governedGambling odds, something that must happen more opportunities.

The point I want to make is that the trading system is not one chooses to use almost as important as the following:

1) If the dealers trading system with a favorable trend, a type of "edge"?

This must be re-tested by the professional. Currency traders need to be sure that he or she is a trading system that is favorable. It 'also helpful to know what to expect results from this method of trading aredrawdown can be, how many losing trades in a row you can expect, etc.

2) If the dealer regulated?

It simply means that only with a forex trading method that gives the trader an advantage is not enough if it is not strictly according to the dealer.

To sum up, anyone in forex trading to be successful. It does not depend on the amount of capital you have available, does not address the detailed trading system you choose, not really different from the state affairs of the sellerthe mind and the choices he or she chooses to make and keep!

Forex trading is nothing more than a game of chance