Forex Myths

1) Cable likes to bounce three times of the hourly trendline.

2) December is a bad month to trade.

3) Using high leverage is bad practice.

Never add to a losing trade.

I dont lose ever...

im the best trader

I am the next american idol.

An FX chart is nothing more than random movement

Everyone can make in this profession. Just like being a scientist

You can replace your income trading FX full time after only a couple of years of trading experience

Trading is enjoyable.

I disagree.

Now you can make it in forex after just a couple of days. Just put a robot and you'll have your own private bank after just 30 days.

Yeah baby!!!

Rock n' Roll.

So true. If people were told that it would take more than 2 years to begin to get good at FX.....they wouldn't even start.

Trend is your best friend....

(fact no body knows whats the real trend is...every time frame has its own trend)

My dog is my best friend. Smokey tells me the direction of the market.

4) "Forex Made Easy" and similar books / infommercials will get you profitable after a few hours of diligent study.

5) You should only risk between 1 and 2 percent per trade.



This one really drives me nuts. Risking 1% per trade, your account should never draw down more than 25%.... and if it does, you should find other ways to spend your time.

But if it only goes down 25%, what is the point of even having the other 75% there? Put it in a CD, and be aggressive with your small Forex account.

I'm gonna have to disagree with you on that one.....the Trend truly is your friend. There are two things that can happen if you jump in early before a trend starts: 1. You will be waiting around forever until the trend is engaged and rolling 2. You may actually be in a carefully crafted trend reversal scenario.

When I first started trading FX, I would routinely get in at the "end" of a trend over and over again. As I gained more screen time, I learned how to hop in at the middle of a major down move once I figured what the heck was going on and could recognize the trend. If I can anticipate a 150 pip move, I try to carve out 60 to 70 pips or more.

"A good trade is a trade that has at least 1:2 risk reward ratio"

It says in their "About Us" section the company was founded by professional traders and investment bankers. So they must be a reputable place and all their "results" must be real.

If its on the internet it has to be true right?