Forex Trading Is Not For Individuals Who Are Not Smart

Category: Finance, Currency Trading.

Forex trading is not for individuals who are not smart. However forex is marketed like it s the money- tree that everyone was searching for- and all you have to do is sign up to" our brokerage" and suddenly you ll have" the keys to the kingdom! " Fat chance!

It is for sophisticated traders who know how to trade the markets. Chances are that if you re in forex, like 95% of others, you are actually a" loser" . Therefore, most of the people trading forex as retail investors, despite the fact they may have spent literally tens of thousands on seminars and courses, still don t have the slightest clue of what they are actually doing or where they are headed with their trading. It s not a nice word to use, a new, but unfortunately" industry" of forex brokers, introducing brokers, courses, mentors, authors and commentators would not have spawned unless there were millions willing to spend money like consumer gamblers trying to make their fortune based on the lies of advertising and marketing. The result is that they complain and they moan and they try to find the" holy grail" of forex trading in forex forums, courses and through, through more books spending more money gambling in the forex market. Forex involves huge amounts of money with contracts and volume that make the US stock market seem like Mickey Mouse.

If that is you, here is where it ends. The real winners are the brokers and the banks who have inside information, capital and influence to be able to profit and keep on profitting no matter what direction the market is moving. The truth, the whole truth and nothing but the truth about forex continues. A" piece of the action" is just another way of marketing a short- term fix( you being able to trade using a forex brokers platform from your family PC) for your long- term pain( the losses in time, money and energy you will incur from not really knowing what you are doing apart from you want to get rich quick or at least make some money) . You can rest assured that there will be many" versions" of this original article on the internet within weeks if not days. In forex, a successful forex broker will trade. This is because the marketers and those trying to cash in on the forex explosion will plagiarise and do anything they can to get their message out as well- after all, it s your money that everyone is after.

They made trade against their unwitting clients( to" mop up" capital they can keep for themselves) and also because they are in the position of power and knowledge that we talked about earlier. Same as with the bank trading floor leaders. Being able to know what trades have been placed on the books puts the forex broker at a huge advantage. A team leader will instruct their team( for example a team trading the EUR) when to buy and sell. Either way the forex broker wins. Sometimes it will be to take out stop losses of their clients and then get in at the start of moves in the opposite direction, other times it will be following the lead of mor influential players.

And that is how a lot of people have made money in forex- by being a broker, not limiting themselves to just trading, but sales is a part of the banking system, is it not? What makes forex any different? After all, diversification is a kind of rule in investment circles too, correct? So the key therefore to successful trading without the capital and" insider knowledge" advantage of the leading forex broker is to be able to understand what the moves are that the forex broker team leaders identify as the entry points for their teams and therefore the market direction effectively. Once the way in which the brokerage trades is identified- the strategy is elicited, a whole new doorway is opened up for the retail investor. That is not to say that forex broker teams, hedge funds or banks control the market direction as individual entities neccessarily, but it assumes the broker is successful at trading.

The forex trading game no longer becomes a game of chance and luck with the odds dramatically against, it is a game of skill with some luck added in to the mix. Further to the" insider information" of how to trade forex like a professional forex fund, having a business plan and being able to action it are of course vital. This is the state of the forex market today. This means that the person who is the forex trader needs to learn and grow, to be flexible and to be able to think independently.

Read more...

The Forex Market - Finance and Currency Trading Articles:

Forex trading has become an incredibly popular method of online trading these days, mainly due to one thing. it s volatility! But what is forex trading and how does it work?

Forex Trading Vs - Finance and Currency Trading Blog:

Forex Trading is the paramount home- based corporate potential available at the moment, and maybe even in past. We just want to be clear about who this article is heart written for.

One Hardly Did The Trading Himself - Deloris Bogan's Finance and Currency Trading blog:

Online trading has gained immense popularity because of the convenience it provides to the investor and the ease with which it can be carried out.