Jan 13, 2010

Starting Forex: Falling in Love and Getting Your Heart Broken

Hey guys,

As a forex trader, I always enjoy chatting with other people about currency trading. These people could range from professional traders who can make thousands of dollar a day to young and excited 'fresh meat' who have just entered the vast world of forex trading.

The Old Traders
One common factor is very prevalent when I speak to forex traders who make good money day in and day out i.e. They all have either lost money OR had blown an account when they first started their journey in forex trading (someone I know told me he lost USD 250,000!).

The Bold Traders
On the other hand, some of my conversations with forex beginners, I deduced another fact i.e. If they had luckily (or unluckily?) made some money while trading a demo account or even a live account, this small form of 'victory' makes them feel on top of the world and that they were born to trade forex. After a period of time, these people would then somehow proceed to the category of "have lost money" and/or "have blown an account".

What can I deduce from the above?

The possibility of making very good money coupled with a lot of amazing marketing out there draws people into the forex markets day by day. Forex beginners are very prone to believe that forex trading is easy only to discover the water is deep once they are in the pool. Once they realize that forex trading is NOT as easy as it seems, some lucky ones will pull out of the market while the unlucky ones will continue to gamble away their money (I know someone who has kept trying for 10 years!). Those that do not give up and continue on learning will find that forex trading is just like any other business. You need to dedicate your time, money and effort to be able to reap the excellent rewards that your relationship with the market provides.

You will get your heart broken when you blow up that account. Grief if you must, then get up, get over it and continue on your journey to be a successful forex trader.



Happy Trading,
Leo

9 comments:

anthony said...

Yup...absolutely agree.

Leo said...

Yup...I absolutely agree with you agreeing

Daniel parker said...

Great one!!! agree with you too.... :)

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David Ritchson said...

Actually there are new kinds of traders that are smarter and more aggressive. These kinds of traders are still young at heart and they don't back off when it comes to gambling big stocks needless to stay having a big capital to back them up.

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agshue said...

When i was starting to trade i lost usd15000 in one week i was very down that time but i m not quit, now i make profit usd 500 to 2000 daily

Stanley said...

Beginners should take it slowly. It is advisable to learn the basics before investing.

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Simon Greenwhich said...

I agree with the comments. Investing is not easy. It involves a lot of tricks and schemes before mastering it. With the advent of technology today, new innovations have been incorporated to Forex affecting the binary options trading platform. It is always safe to ask a help from an expert before dealing with Forex Market.

Kate Lieberman said...

I get headaches trading my own FX account and found the websites below, where I let their skilled money managers trade part of my capital, I also benefit from there forex cashback service and free trading articles :
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nancy john said...

Forex trading is open 24 hours a day and therefore you need to ensure that the forex broker that you choose operates at all times of the day. 

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