Well you are right.
Knowledge is everything in Forex.
If let's say a godlike system appears that can predict every move then there will be no fear at all to trade freely.
People are forced to exercise some kind of feelings control since they are not aware of the true market's nature.
Like when thunder was considered to be a god...
p.s
Though I have something to add about psychology and human behavior.
Some totally insane things happened to me .
I saw a dream in which Eur was at 1.37 and it rose up to 1.61.
I saw that the King(I don't know what happened to the queen!!) of england made some sort of announcement and that Eur(I dont know what Gbp did and I really cannot understand why the king(!?) of england could affect Eur) started going up from 1.37 then it stalled for every 200 pips and I shorted it.Every time I shorted it ,it went down for 20 pips or something and then it spiked up for another 200 pips in a matter of seconds(I guess this is the worst forex trader's fear,a wild market going against you) while I kept shorting it every time it stalled.I kept shorting till it reached 1.50 and then it's just spiked up a 1100 pips to 1.61.
Then I woke up!
Back to reality now...
When Eur reached 1.4270 I knew it was a perfect short trade with a profit target at 1.4030 but still I couldn't pull the trigger since that dream had really affected me.So for the last weeks I stopped trading Eur/Usd at all untill either the dream comes true and eur reaches 1.61 (!!) or I can operate without the interference of illogical fears to my trading.
This is something I cannot explain as far as my psychology is concerned.
Knowledge is everything in Forex.
If let's say a godlike system appears that can predict every move then there will be no fear at all to trade freely.
People are forced to exercise some kind of feelings control since they are not aware of the true market's nature.
Like when thunder was considered to be a god...
p.s
Though I have something to add about psychology and human behavior.
Some totally insane things happened to me .
I saw a dream in which Eur was at 1.37 and it rose up to 1.61.
I saw that the King(I don't know what happened to the queen!!) of england made some sort of announcement and that Eur(I dont know what Gbp did and I really cannot understand why the king(!?) of england could affect Eur) started going up from 1.37 then it stalled for every 200 pips and I shorted it.Every time I shorted it ,it went down for 20 pips or something and then it spiked up for another 200 pips in a matter of seconds(I guess this is the worst forex trader's fear,a wild market going against you) while I kept shorting it every time it stalled.I kept shorting till it reached 1.50 and then it's just spiked up a 1100 pips to 1.61.
Then I woke up!
Back to reality now...
When Eur reached 1.4270 I knew it was a perfect short trade with a profit target at 1.4030 but still I couldn't pull the trigger since that dream had really affected me.So for the last weeks I stopped trading Eur/Usd at all untill either the dream comes true and eur reaches 1.61 (!!) or I can operate without the interference of illogical fears to my trading.
This is something I cannot explain as far as my psychology is concerned.
The GrandMaster of the Forex Market.