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3 Questions Traders Would Like to Ask Right Now

Discussion in 'Forex Beginner Q&A' started by Currency Expert, Feb 26, 2016.

  1. Currency Expert

    Feb 14, 2014
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    “The moral of the story is that you don’t know, I don’t know, nobody knows where price will go. Anybody who does claim to know either doesn’t understand how markets work, is selling something, or is delusional.”– Chris Tate


    Why is there so much pretense among those who claim to have mastered trading?

    Answer: Many experts tend to think they know what the markets will be doing next. While we’ve tools that can help us in doing this, we can never be sure, because we don’t really know the future. There are many people who’re overconfident when they get hold of a new trading system or an analytical tool. They think they’re wizards, but they’re not.

    There are traders who talk with overconfidence, behaving as though they were in total control of the markets. But when they face the real battle, they flounder.

    One woman was trained by a popular Forex trading institute in her country. After the training, she still experienced frustrating challenges. When she met me, she told me that the guys who trained her didn’t know anything about trading.

    The woman was wrong (though I didn’t tell her so). The guys who trained her have lots of knowledge… only that they can’t predict the future. I also don’t know anything because I can’t predict the future.

    That means official/senior/market analysts don’t know the future. What we do is best called educated guesses. Trading experts don’t know the future, yet they make profits. It’s better then to let our clients/trainees know that we don’t know what the price will do next, but we can survive without knowing that. That’s better than giving people a false impression that we can accurately predict the markets: this would make them hate us when they find out we can’t.

    For instance, experts agree that it’s better to select trending instruments when considering a trade. An instrument that’s trending ought to continue doing so. Choosing a trendless instrument may be suicidal (unless one’s a scalper) because both buyers and sellers might lose. A trendless market may continue to be trendless. But one may enter a trending market and it would then start consolidating; whereas a consolidating market might start a serious trending movement. In reality we don’t know what may happen next.


    Like trading skeptics, many who’ve suffered losses or tragedy are unable to find satisfying answers to the questions below. Some become apathetic towards trading. Others mayn’t entirely quit trading, but they become inactive.

    It’s not that those who’re apathetic or inactive are completely unfamiliar with secrets of trading success. On the contrary, their experience with the so-called experts is often what pushes them towards apathy. Many liars who pose as successful traders, they feel, have failed to answer tough questions in trading. What kind of questions? Paradoxically, they’re always the same that people who claim to be experts struggle with.

    Many members of the public believe that the fact that over 90% of traders lose proves that success in impossible. Others, though, who have come to understand why over 90% of traders lose, are confident that success is possible.

    Why is trading so difficult?

    Answer: As it’s being mentioned in the subheading, “PEOPLE AREN’T WHAT THEY CLAIM TO BE,” what makes trading appear very difficult is the fact that the market can never be predicted. When we predict, we’re sometimes wrong or right. However, having an impression that the market can be predicted is the single most important reason why most traders end of getting frustrated. No matter the analytical method you use (Monte Carlo, Neural Networks, Horology, robots, Gann, news, Ichimoku, etc), you can’t predict the future. Your frustration will continue as long as you think you can predict the market. Once you admit you can’t do this, your frustration ends, because you’ve aligned yourself with the reality in the market.

    What benefit can I get from trading?

    Answer: Freedom. Freedom is everything. You master your financial destiny, growing richer and richer gradually. Very soon, you’ll realize that trading is the best vehicle for financial freedom; plus the greatest game on earth. Sadly, many people don’t believe this fact.

    How can I experience permanent success in the markets?

    Answer: You’ll attain permanent success once you devise a way to make money in the market without being able to predict the market – without knowing what the market will do next. This kind of strategy isn’t hard to devise. You’ll then see each new trade as a potential loser until you’re proven otherwise. This mindset would enable you to activate stops and use a small position size. You’ll know trading is simply a game of probability and with a good RRR, the odds would eventually come in you favor. This is what’s called positive expectancy. With this simple approach, you’ll no longer see trading as difficult. More importantly, you’ll attain permanent success without the ability to know the future, which begins from your mind.

    If you don’t know those who’re successful in trading, there are many of them and I know some of them.

    This piece is ended by the quote below:

    “Your trading system has a set of rules. When you don’t follow the rules, it’s a mistake. And if you don’t have rules, then everything you are doing is a mistake. Even with rules, most traders probably trade somewhere below 80% efficiency. When you make two mistakes in ten trades, you are at 80% efficiency and that may be a low enough level to destroy the positive expectancy of a system. Below 80% will turn a winning system into a losing system. Rather than acknowledge their mistakes, however, most people just blame the markets or decide their system is no good. But until you acknowledge your mistakes, you are not being responsible for them and you cannot fix them.”– Dr. Van K. Tharp (Source: Vantharp.com)

    Source: www.tallinex.com
  2. orni308

    orni308 New Member

    May 31, 2013
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    Yea these are the basic question that everyone has in mind before doing any job including forex, and it should be made clear that forex trading is a difficult job but one of the main benefits is you can do it anytime and from anywhere , making it one of the most preferred job and as far as earning is concerned in the beginning its very difficult but as you spend time in the market you will start earning , it still tough though.
  3. Fxtrader88

    Fxtrader88 New Member

    Nov 24, 2015
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    It's a difficult job, right, but it also can bring much more monty than an ordinary job. For example, here is a live trading contest from Freshforex. You make a profit and get prizes for that: cash prizes and the main one - a new BMW X6.
  4. sininfinity

    sininfinity Active Member

    Apr 4, 2014
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    Nice article. And this is the part I want to point out. The market is not totally unpredictable. There are certain behaviors which appears again and again. That can be gauged by technical analysis. But technical analysis does not always work. So a trader has to accept losses and he she accepts profit. It is part of the process.
  5. Blossom

    Blossom New Member

    Apr 12, 2016
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    As a beginner, I would like to ask a question, How one can have a steady income with Forex??

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