You will read a lot of nonsense online from people claiming the markets have a mathematical order and can be predicted when its obvious they cant! Why? Well if you could, everyone would know the price in advance and there would be no market. You can’t predict prices; you can win though, if you understand the following.
The market is an odds game. This means that it is very similar to a game of poker or blackjack. These players know they won’t win every hand but if they can keep betting when the odds are in their favour and passing by hands or folding, when the odds are against them they can win.
You will read all the time about traders saying they have some mathematical formula and can see how prices move in advance however mathematical formulas cannot be applied with CERTAINTY to an odds based market.
Sure you can get the odds on your side and win if you get the odds on your side.
Trading the odds works, because although humans can be unpredictable, they can also at times be very predictable and this is because human nature never changes – greed and fear always push prices and push them to far on occasions and these set ups can be traded for profit.
If you can learn to spot high odds formations on the charts you can win.
Trading forex is not about perfect market timing (that’s impossible) it’s about making money and if you got 50% of every major trend you would be very rich.
To many traders think they can beat the market but you can’t.
You are trading in an area where only you can be wrong and the market is always right. If you let your emotions and ego get involved and take losses personally, you are going to lose.
Forex markets require a set of rules you understand and have confidence in to lead you to currency trading success and you must apply your forex trading strategy with total discipline, keeping losses small and running your profits. If you can do this you can win.
Forex trading is not about having a good forex trading system – it’s about having a trading system and the discipline to apply it. Keep in mind if you don’t have the discipline to apply your system – you don’t have one!
If you want to win at forex, you need to understand and trade the odds and take your losses cheerfully and run your profits.
In forex trading it’s not the market that beats the trader it’s the trader that beats himself.
It’s a proven fact that anyone can learn to trade forex markets and win -but most don’t because they cannot get the right mindset. If you understand this article, then you know what to do to enjoy currency trading success – Good Luck!