What makes You lose in the market? | Page 2 | Forex Factory

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What makes You lose in the market?

  • #21
  • Feb 18, 2018 6:35pm Feb 18, 2018 6:35pm
Account not large enough to do anything meaningful leads to over leveraging, which then sometimes results in losing a chunk of money.
  • #22
  • Feb 18, 2018 6:51pm Feb 18, 2018 6:51pm
Quoting wicktrader
Account not large enough to do anything meaningful leads to over leveraging, which then sometimes results in losing a chunk of money.
Yet, moving stop losses and trying to avg down your loss is just as bad. It simply tales longer to margin call yes?
  • #23
  • Feb 18, 2018 7:06pm Feb 18, 2018 7:06pm
Quoting HabibiForex
{quote} Yet, moving stop losses and trying to avg down your loss is just as bad. It simply tales longer to margin call yes?
There's nothing wrong with averaging or anything else whatsoever, if you know what you're doing. But if one doesn't know what they're doing then averaging will be the fastest race to a margin call.
  • #24
  • Feb 18, 2018 8:02pm Feb 18, 2018 8:02pm
Imho more and more traders new and old included are buying into the false belief of the system vendors and brokers that Automation Trading EA is able to rake in those money like an ATM. Nothing is further from the truth. Algorithms are only for those with very deep pocket to exploit the time lag to front run and get in and out of trades ahead of everybody else. It's man Vs machine in term of speed and not skill or competency. Skilled retail traders with real edge can and will outdo those machines simply due to fact that we can see and react to the price actions accordingly while machine can't.
This false belief in EA has become the biggest culprit and is mainly responsible for most failure nowadays. It also make the traders lazier.
This is my personal assessment and surely not a know all fact.

Cheers
GS
  • #25
  • Feb 18, 2018 8:29pm Feb 18, 2018 8:29pm
Fear.

And sometimes risk aversion based also on fear.

But I'm working on it, it's complicated.
big money makes big moves and then hides during small money chasing.
  • #26
  • Feb 18, 2018 8:53pm Feb 18, 2018 8:53pm
I believe it is having too tight of a stop loss. I trade with no stop loss but exit trades when reversal candles are shown. get out of the trade with a small loss. I also trade the 1 hour and up timeframes which gives you time to analyze the candles. Also, let your winners run.... you also have to make sure you are not trading large lots. My rule is you should be able to handle a 100 pip move to the negative side if your trade did not go in profit from the start. Also last but not least, trade in the direction of the trend because when you trade in the direction of the trend and the trade goes against you there is a high probability it will at least get close to your entry position or possibly go in profit with the trend again. adjust your lots as your account grows to increase profits but also be able to let the market bounce around to continue trend direction.
Make it as perfect as you can....
  • #27
  • Feb 19, 2018 1:09am Feb 19, 2018 1:09am
Quoting philstodd
I believe it is having too tight of a stop loss. I trade with no stop loss but exit trades when reversal candles are shown. get out of the trade with a small loss........

This makes sense. Tight stops have bled many traders' accounts dry even while they thought they were reducing their risk. Stops, whether manual or pre-set, are an indicator of negative TA, not of acceptable capital loss.
  • #28
  • Feb 19, 2018 2:32am Feb 19, 2018 2:32am
Overly focused on making profits + Fear of losing money = Losing Trader
'For the market to work, it needs people who think that they can beat it.'
  • #29
  • Feb 19, 2018 2:40am Feb 19, 2018 2:40am
Not being able to stick to your strategy due to having overconfident on making profit on current trade.
Consequently it cause you forget even temporarily how you got that trade.
Besides FOMO..
Think like an investor, Act as a speculator. Ferid H.
  • #30
  • Feb 19, 2018 9:43am Feb 19, 2018 9:43am
Read, watch, learn every thing you can find on trading (99% of traders)

Then forget every thing you have learnt and find your own trues, your own style (1 % of traders)
Bottomless wonders spring from simple rules, which are repeated without end
  • #31
  • Feb 19, 2018 9:47am Feb 19, 2018 9:47am
Quoting philstodd
I believe it is having too tight of a stop loss. I trade with no stop loss but exit trades when reversal candles are shown. get out of the trade with a small loss. I also trade the 1 hour and up timeframes which gives you time to analyze the candles. Also, let your winners run.... you also have to make sure you are not trading large lots. My rule is you should be able to handle a 100 pip move to the negative side if your trade did not go in profit from the start. Also last but not least, trade in the direction of the...
I also agree with that factor - too tight of stop loss...
profitable trading does not mean trading everyday
  • #32
  • Feb 19, 2018 10:25am Feb 19, 2018 10:25am
In this thread I start to discuss and share my thoughts and opinions with you about things that make us to lose in the market. There are mainly three amongst traders. #1 - counter trend trades. In each timeframe (the higher the better) we can see its own trends, first we should identify the trend direction and trade along the trend...
for instance, https://www.forexfactory.com/attachm...9&d=1518241149 and https://www.forexfactory.com/attachm...1&d=1518241160
profitable trading does not mean trading everyday
  • #33
  • Feb 20, 2018 12:09pm Feb 20, 2018 12:09pm
I am a beginner, but i am sure the main problem is the mindset, people want to make fast money, easy money immediately, people don't think long-term they want to make a million dollar instantly, people don't think in years or months ,they only see the daily results and if have a bad day then people drop the startegy and don't follow their plans,they are impatient... I think this is the biggest problem with people... The Mindset.
  • #34
  • Feb 20, 2018 12:45pm Feb 20, 2018 12:45pm
Quoting Bigindoda
I am a beginner, but i am sure the main problem is the mindset, people want to make fast money, easy money immediately, people don't think long-term they want to make a million dollar instantly, people don't think in years or months ,they only see the daily results and if have a bad day then people drop the startegy and don't follow their plans,they are impatient... I think this is the biggest problem with people... The Mindset.

Agreed. Mental approach is going to be responsible for most of the probability of a trader's success. The rest is down to good technical or fundamental analysis and awareness of market behaviour.
  • #35
  • Feb 20, 2018 1:02pm Feb 20, 2018 1:02pm
Quoting tomorton
{quote} Agreed. Mental approach is going to be responsible for most of the probability of a trader's success. The rest is down to good technical or fundamental analysis and awareness of market behaviour.

Yes, In my opinion 80% mindset and 20% strategy,ability.
  • #36
  • Feb 21, 2018 3:36am Feb 21, 2018 3:36am
Emotions... and high leverage! Those things can take out your money. i'd rather trading with very limited leverage so i can manage my risk properly. Otherwise, its a kind of suicide.
  • #37
  • Feb 21, 2018 4:41am Feb 21, 2018 4:41am
Quoting richadi36
Hi trader fellows, I want to discuss with you about what makes us to lose in the market - trading strategy (low/high timeframe, setup or trigger), wrong mindset as a trader etc... Analyse your charts when you have lost the trade and discuss it with others why it happened. Is it your strategy or other factors makes us to lose that trade... I know that it doesn't exist 100% profitable trading method, BUT what makes us not to be profitable in the long run? why only 5-10% of the traders make it...?
hi, the majority of times we lose our selves..
i hear that 95% of traders lose but i do not think that is an accurate picture, it is difficult to collate stats.
SEE LINE,TRADE LINE..PRICE HAS TO GO SOMEWHERE,,, PRICE WILL GO SOMEWHERE.
  • #38
  • Feb 21, 2018 4:54am Feb 21, 2018 4:54am
Quoting billytt
{quote} hi, the majority of times we lose our selves.. i hear that 95% of traders lose but i do not think that is an accurate picture, it is difficult to collate stats.

According to the U.S. Small Business Administration, over 50% of small businesses fail in the first year and 95% fail within the first five years. So it would not be surprising if 95% of traders failed in a similar (or even a shorter period, given that the barriers to entry for trading are lower than those for starting up a new business).

The failure rate is no argument against starting an enterprise. And at the start of a new business, you can't know all the key factors that will make that particular business a long-lasting success. But at least we should all be aware of the key factors that cause failure.
  • #39
  • Feb 21, 2018 8:35am Feb 21, 2018 8:35am
Being undercapitalised.
"The meek shall inherit the earth.." Yeah right, good luck with that shit..
  • #40
  • Feb 21, 2018 9:22am Feb 21, 2018 9:22am
Quoting Papironi
What's made me lose in the markets; thus, blow my accounts is risking too much per trade. That is my number one killer. To me, there's no high or low probability setup. At that moment when you think you are looking at a high probability trade, that's when you become over confident and risk too much. You might be right today, but you only need to be wrong once to blow your account. So, the solution is, master a good strategy that gives you above 50% win rate, stick to it and risk small. Then in the long run you will become rich. No shortcuts!

I think Papironi has explained one valid way of not losing quite perfectly there.
Of course, I would say that as that is my way of trading and it does work over the long haul provided you trade small and always with sound risk control, discipline and consistency.
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