Does being a Good Chess Player make you a better FX Trader

Just a thought Phil, but you could ask is the market attacking or defending price (the king).

Let's put it this way - you'll make as much in forex as you do in chess......

Of course....that's where they learn how to be deceptive and steal your pieces....

Hehe

No.
Good chess players overthink.
In forex that's disaster.

I know

Hi, Chess versus Forex?
if anything it is the exact opposite.

With chess we have intelligence and cognitive ability, neither of which applies with Forex.

Forex is akin to having a pawn which is able to move like a queen, totally unexpected,

Forex has no rules....

Texas Holdem Poker uses stats, probability/outcome this is more like Forex.

My rating was about 1500 at one point and I don't think being good at chess has anything to do with being good at trading. In fact I would say the people that are not so smart would generally do better as traders because they are more likely to stick with and execute a plan rather than always looking for a HG. To successfully retail trade forex, you need a very good broker, a very large account, and a very good strategy.

well said

Playing chess is not a good way to train youself to trade well


Chess

Possibilities in chess positions/variations though numerous, are definite and logical in nature. Possibilities/variations, regardless of the level of complication of any given position, can be calculated in its entirety, depending on the chess player's calculating skill.

The 'best' moves are usually moves that gives you advantage in any given position

Your chance of winning a game depends on the skill difference between you and your opponent.

The game is reasonably fair. With White having a slight edge over Black.

Capturing the king (checkmating) is the goal.


Trading/Market

In trading, the exact price movement patterns that can possibly occur are infinite. Price movements are kind of logical in the sense they are based on sorely real time buyer and seller behaviours, but most traders are not able to calculate the exact outcome purely by looking at charts. You can try to predict/anticipate price movements, but there is no guarantee you will be right.

The 'best' trading decision/trade that you take are based on your trading strategies/trade plan. They could go very wrong (sometimes many times in a row), no matter how confident you are.

Your chance of making consistent profit from the market requires exceptional trading skills which most traders probably do not have. And you can never outplay the market.

The field is very unfair against retail traders. You are playing against smart, elite, professional traders who trade way better than you and who have ample capital and better resources.

Trying to keep your account from getting into drawdown / protecting your capital is the proper main goal, with taking realistic profits as possibly the secondary goal. Aiming for unrealistic high profits is potentially destructive to your account.

I dont think so. Chess can help you think sharply and that can be helpful in trading in someway though.

I find watching ice hockey helps my trading.

Not necessarily Infact some of the chess geniuses might not do very well in trading while some others might prove to be extremely profitable.
But first point is we have to understand what is the common thing between chess and trading.

1]Pattern recognition.
2]understanding probabilties depending upon the situation of the chess game or market conditions.
3]taking risks [for example making a move such as sacrificing the queen or rook in order to checkmate your opponent,whilst in trading doing somewhat different and going against the crowd i.e following a strategy which no one else knows but is effective.

Now we have to understand what is NOT common between the two.
1]In chess you know whos your opponent and can study his past behaviour[i.e his chess opening moves,his end games strategies his weaknesses[not applicable if you are playing against magnus carlsen,anand or nakamura because they have very very few weaknesses ;] as supposed to while trading forex you do not know whats coming next,[i.e big players and their million dollar stop orders such as hedge funds,banks,professional trading institutions,retail traders,automatic high frequency trading machines plus there are many other things which could impact the markets such as news,false rumours,calamity,black swans.
2]In chess you can KNOW the limitations of moves your opponents could make and therefore you can develop a strategy based on that.[in trading you need to know too many variables,considering their consequences and effects on the markets.
3]there are many ai[artificial intelligence or robot engines] in chess which can beat all the chess geniuses in a matter of minutes.you can look it out for yourself such as komodo,stockfish,houdini and when compared to trading there are many expert advisors millions of them which cannot beat the markets[consistently] in a short term they could very well make money but law of large numbers would speak for itself in the longer run and 99.9 percent robots will lose in the longer term.

So thats my conclusion trading and chess have some similar characteristics but being a grandmaster in chess is not a guarantee that this person would become a successful forex trader

Hello,

I was a master in chess when i was thirteen.

I am not what i call a master at forex but i 'm doing good now.

Two different disciplines. Analysed the best moves in chess is very different that trading what is happen now.

I think it's the characteristics of a good chess player that can HELP with trading forex, but it's not a direct correlation. For example, in order to be a grandmaster Chess player, you must have the ability to memorize 1000s of patterns, chess moves, etc. They could visualize ahead of time their opponent's next move, very good problem solvers, (reading the market is just like solving a puzzle) They make lots of calculations before they make a move. All these characteristics can help you immensely as a forex trader because you need discipline, patience, and logic and deduction skills.

Yeah it can help you in terms of patience. It will help how to wait for a good trade. Except that there is no more benefit. It's important to know that when it comes to money our psychology starts working differently. That's the reason most people can't control themselves.

I personally find watching porn to help my trading..

One handed trading. Valuable skill lol

When I was a kid I had this 3d chess game. Three levels, complicated as can be. Throw in a toddler, ready to tip the whole board over....good correlation to the markets.

Being a successful athlete may make you better in forex. You try to beat your opponnet in chess where as being an athlete means to beat yourself in the game and it needs persistence and discipline.

In my opinion it's nothing like chess. Forex is very easy and simple and to succeed you have to keep it that way. Almost stupid simple, it goes up down and sideways. Its can never hit up and down at the same time. There are ceilings and floors where the ball bounces. All you have to do is go with the ball. Everyone should make money in forex

I don't see too many similarities between trading and chess. Blackjack is the best primer for trading in my opinion, as it teaches you to be patient waiting for the highest probability opportunities, which you must then play out correctly, likewise risking around 1-2% of your bankroll per hand.