Today, traders all around the world are using complex computer programs and mathematical equations to work out the scientific theory of market movement. What are the results and how can they benefit your FX trading strategy?
Let’s start with a fact:
Today 95% of traders lose their money and it’s the same ratio as 50 or 100 years ago and this is despite all the so called advances in computers, forecasting and number crunching applied and this leads to an obvious conclusion.
Forex markets don’t move the certainties i.e. mathematics, they only move based upon odds and you can try as hard as you like to apply science and maths – but if prices move to the odds this is futile. It’s obvious:
If markets moved to a mathematical theory, we would all know the price in advance and there would be no market! Common sense – but traders love complexity, it makes them feel safe and they think it cuts risk. They may love it but it won’t help them.
Today there is a huge industry in robots and automation is the buzz word and you see extra ordinary profits in hindsight and simulations – but they never work in real time, because no two pieces of data are ever the same and you really are chasing your tail if you try it.
Just as in yester year, simple forex trading systems work best, as they are more robust with fewer elements to break. A simple odds based system should be the basis of your FX Trading strategy. Don’t be deceived a simple odds based system can make a lot of money.
The problem today is we are used to science and maths solving problems in life and making our life easier, more comfortable and it does – but that doesn’t mean it works in all areas of life and the forex market is one, where it doesn’t. You need to keep it simple, have confidence in what your doing and if you do, you can enjoy currency trading success.
So stop trying to beat the market and see it for what it is, a high stakes, high odds game and get the right forex education. If you keep it simple and trade the odds, you can make a lot of money with your FX trading strategy and that’s a fact.
By: Kelly Price
Posts Tagged ‘Common Sense’
Fx Trading Strategy – the Application of Mathematics to Reveal the Theory of Market Movement
December 30th, 2009Best Forex Education Websites to Learn To Trade Forex
December 19th, 2009There are numerous websites offering forex training if you do a simple search on Google. However, I have only come across one such site that I feel was worth my time spent pursuing it. Forex training generally will fall into two categories; training from people who are just looking to make a quick buck off of people who are not knowledgeable in regards to forex yet, and forex training from people who genuinely want to help others and share their success with as many interested parties as possible. Forex trading training is not super complicated, if it is taught correctly, it is actually very simple. The people making it complicated are generally the ones who are not making consistent money in the markets.
Keep Trading simple, keep your Education Simple:
Forex training in the art of price action analysis is in my opinion the best, most logical and simple way to make sense of the market and really start profiting consistently from it. There are a lot of websites offering forex training in price action, but really there is only one that is worth spending a lot of time at. The Forex Training website is called www.LearnToTradeTheMarket.com and I have found the creator of this website to be a genuine straight to the point type of guy who is obviously a professional and obviously knows what he is talking about. He teaches price action analysis without any messy indicators or bogus complicated counting methods. He shows you how to profit consistently with only a naked price chart and your own brain.
Price Action:
The market gives you clues as to what its next move might be. Most people make these clues harder to distinguish by putting a bunch of sloppy indicators all over their charts. Price action analysis will give you a guide for the market and give you a map or a method to make sense of what the market is telling you. It gives you a solid foundation on which you can add a common sense money management plan, these two pieces, price action analysis and money management is really what being successful all boils down to. Forex training at Learn To Trade Forex will give you the best price action education as well teach you about risk/reward ratios which help you make simple mathematical sense of the probabilities of any given price action setup.
The Difference:
The key difference between Nial Fullers website and other sites that offer forex trading training is in the fact that the former offers on going support from its founder, while the latter does not. You can tell a lot about the quality of the product by the way the website is setup. If it is a one page ad trying to sell you an e-book, then it is most definitely a scam. If it is a quality website with an active traders’ forum and regularly updated free instructional videos by the founder, then it is quite apparent that the person behind the material actually cares about what he is teaching, not just in making a quick buck. I encourage you to start off on the right path in your journey to achieve solid forex training.
By: Nial Fuller