hi all,
before deciding to trade foreign exchange please understand the following.
there are some fx mkt dynamics that really dont seem to be addressed anywhere that i can see..
bare with me here and sorry for sounding like a miserable so and so..
the realities:
every time someone trades in fx they are competing agst the whole mkt not just like minded traders.
The whole mkt includes full time professional traders. They work 12+ plus a day. They are very heavily resourced and have an enormous amount of information available to them. Their business and lives are structured entirely around giving themselves the best possible chance to deliver returns to their investors.
That is what people are competing with..
Of those professional traders only about 15% make money over time.
Their profit days to loss day percentage is around the mid to low 50 percents.
Those at the very top of the tree have a win rate of well below 50 percent as their trade size means they pay wider bid/offer spreads.
Trading in shorter time frames in smaller amounts and targeting smaller revenues does not change the playing field. Im afraid you still bump into the above described.
So trying to do this part time, or as a hobbie or on a laptop at lunchtime at work etc etc etc?..Your chances of profitability are very very low
Everyone involved in fx trading, or thinking about doing it, really has to understand how the above will impact their chances of success.
sorry about this but it is a reality that really has to be tabled.
If you decide to go for it regardless, then all power to you and i hope you nail it
3
before deciding to trade foreign exchange please understand the following.
there are some fx mkt dynamics that really dont seem to be addressed anywhere that i can see..
bare with me here and sorry for sounding like a miserable so and so..
the realities:
every time someone trades in fx they are competing agst the whole mkt not just like minded traders.
The whole mkt includes full time professional traders. They work 12+ plus a day. They are very heavily resourced and have an enormous amount of information available to them. Their business and lives are structured entirely around giving themselves the best possible chance to deliver returns to their investors.
That is what people are competing with..
Of those professional traders only about 15% make money over time.
Their profit days to loss day percentage is around the mid to low 50 percents.
Those at the very top of the tree have a win rate of well below 50 percent as their trade size means they pay wider bid/offer spreads.
Trading in shorter time frames in smaller amounts and targeting smaller revenues does not change the playing field. Im afraid you still bump into the above described.
So trying to do this part time, or as a hobbie or on a laptop at lunchtime at work etc etc etc?..Your chances of profitability are very very low
Everyone involved in fx trading, or thinking about doing it, really has to understand how the above will impact their chances of success.
sorry about this but it is a reality that really has to be tabled.
If you decide to go for it regardless, then all power to you and i hope you nail it
3