Learn Forex Blog

Kelly Price asked:


Many novice forex traders want to learn forex day trading online and scalp small regular profits to build into big consistent profits over the long term this is article is all about forex scalping and day trading success…

If you are considering learning forex day trading online then think again it will lose you money! Why?

Because you cannot judge where prices will go in the short term and will lose all your money over time.

The Myth of Forex Scalping and Day Trading Profits

Of course there are plenty of forex mentors and gurus who try and sell you forex systems all with great track records and they all have a problem - they all carry this warning, read it:

“CFTC RULE 4.41 - Hypothetical or simulated performance results have certain limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not been executed, the results may have under-or-over compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profit or losses similar to those shown”.

If you have read the above you will see why these forex day trading strategies are unlikely to work for you.

- They haven’t been traded and are just made up!

- Anyone can make money knowing the closing prices but that’s not the real world

- You could ask yourself the question - why if the systems are so good why the sellers don’t trade them, shut up, keep quite and not bother you for a few hundred bucks!

Well you know the answer these systems are designed to be sold and rely on traders not reading the warning to closely and falling for clever marketing copy.

Try and find one without the above disclaimer and your in for a long hard search I have never seen one with a proper real time track record supported by account statements and neither will you and if you do let me know!

Forex day trading looks good in theory - but is doomed in practice ask yourself this question:

You have a huge number of traders who all contribute to the price and who have different motivations, skills and methods of trading and you have to decide what this unpredictable mass is going top do in a few hours.

Its impossible to do so don’t bother trying!

95% of forex day traders lose (100% in respect of day traders) and it’s hard to make money but it’s possible if you put the odds on your side and this means looking at longer term data where you can get the odds on your side.

If you want to win you must use valid data that can help you predict the odds - if you can’t play the odds you can’t win, it really is that simple.

Learn Forex Day Trading Online is a loser’s game so don’t even try it unless of course you want to lose all your money!



SCHILLINGER

Steve Hester asked:


Forex trading market is the main bank spot market for currency. It is meant as the networks of the banks, bounds to run all the working days electronically. We also say it a market of the absolute competition that is affected by any modification made by the banks.

Ten years back, forex trading confronted high obstacles as only large institutes and firms had access to the system and tools essential for the successful trade dealing in the forex market. In this digital age, with the advancement of the technology, any trader or investor can easily start this business in any online environment. You should be aware of the risks involved in the forex trading market as it is full of crocodiles. You may lose your earned money as well. It is very important to learn forex trading when you have the intention to participate in big trading game. You should keep in mind the fact that forex market of foreign exchange marker is not for the beginners. You should brush up your skills when you start forex trading.

Source to learn forex trading:

Internet is the main source of learning forex trading easily where you will find right resources and reviews about forex trading. You should stick to following points when you start your program of learning forex trading.

· Learn about the basics of the FX quotes and strategies for market move.

· Learn about a simple way of developing forex trading strategy with the support of proper money management system.

· Test of trading strategy with the help of trading simulator.

· Start trading program with mini FX account and learn the process of wining or loosing money.

Many people fail in the forex trading because they are unable to control their driving emotions greed and fear. This trading game works on the chance rule just like a flipping of coin gives you 50 percent chance it will be either tail or head.

Why we prefer fox trading:

People prefer to use forex trading instead of the stocks. Forex trading is available 24 hours a day. You do not need to face any type of restrictions when you are dealing in forex trading. Traders have the advantage of earning huge amount of money as forex trading deal in pairs; you can get comprehensive profit at the rise and fall of the single currency of the country.

Traders can easily invest any amount of money at any time as they do not need to wait at the opening of the market. Forex trading also give you a high margin leverage that is impossible to get from stocks. In forex trading market leverage is the effective money making tool that may involve some risk as large number of people assume it. By reviewing above mentioned points, we can say that  forex trading is the powerful tool to earn high amount of money in the foreign currency market.



TYSKA