90% of traders lose money?

Whether you’re a successfull trader or not, there will still be unlucky deals and I can’t agree with those who say that they trade without drawdowns completely, that means they don’t trade at all.

Those who’ve been trading over a year never trade with a negative balance. It’s newbies that can drain deposits quite actively.

Forex market is a platform where money is transferred from impatient to patient so we can easily say that 90% of traders are lacking patience and want to make quick money and in this process they lose.

95% of daily traders loss money to 5% of investors who are more patience, more knowledge and more experience.

[1] - Just daily traders, or was this posted in hast?

[2] - Investors, traders and speculators are three very different identities. Retail clients are for the most part speculators, never trading anything; simply placing a bet with the retail broker. These bets are never passed onto the market as trades.

This gives an entirely wrong impression of what actually happens.

The vast majority of retail traders trade through brokers and probably 95% of those 95% who lose actually lose to their broker, who is their counterparty. They do not do transactions directly with other investors.

Even with ECN, the trade is passed through to a liquidity provider who is usually a market-maker bank, not an investor.

Yes, indeed, retail traders lose because of a lack of patience, a lack of knowledge and a lack of experience- and a lack of other things, too.

But they lose because of their own inadequacies (which can be rectified), not because they are beaten by the superiority of other investors. You do not need to be better than anyone else in order to succeed - you just have to be good yourself. That is the beauty of trading such markets, we are all on the [I]same [/I]side…

what do you think about forex analytic? do you use it in your trading?

This is very, very wrong. Those two groups are not even in the same marketplace as each other, so there’s no issue of one them “losing money to the other”.

I also believe this statistic, because maximum new Forex traders start their live trading so early without enough demo practice, so they haven’t enough plan on live trading! As a result, they lose their real money!

What about the other 5% of traders? Or do you think they’re the 5% investors?

I believe trading is not just look at the chart by doing technical analysis, far more important than both technical and fundamental analysis would be emotional control, patience, and other inner skills

So, Good Luck
H2TForex

While all these things are important, you must have an edge to be successful in the financial markets.

indeed, you have these skills , you are able to make money at any financial market

I think one reason is that a lot of brokers (partially intended) use marketing ads that will attract people that want to get rich quick, which make them an easy pray for experienced and skilled traders who are disciplined and put a lot of effort in becoming what they are. This seems fair to me. In Austria we say SSKM “Selbst Schuld kein Mitleid” (engl. OFNP - own fault no pity). But what do i know i am just a Noob ;-), Nevertheless, i am determent to work hard to be on the winner’s side, i will stick to my demo account til the market judges that i am fit for live account. Will the pips be with me :-D.

Greetz

I got question about synthetic lock… I got if I open the transaction that takes more than 2 minutes and decide to put the lock, this lock doesn’t break the rules, right? Or synthetic lock is a lock that opens at the same second with a single transaction?

According to a survey by the Australian Securities and Investments Commission (ASIC) conducted among 57 brokers, actually 80% of Binary Options traders lose money, while the percent with CFD and forex traders is 72 and 63 respectively.
So the number of people losing money turns out to be quite a bit lower than what traders say or think it is, but it is still a significant percentage.

Interesting. I read an article where traders that use a RRR of 1:1 increase their chances to win to 50%

Many of the traders lose because they came here without any knowledge and experience related to the forex market. This is the main reason behind their loss. When they lose they told everyone that forex is not a right platform for trading. They don’t lose because of forex they loses because of lack of knowledge.

And rushing. I no other career would people expect to make a fortune (relative to their investment) in their first six months. I targeted not losing money in my first year!

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About what I’ve heard too. Percentages are a tricky statistic for many it seems, including 100% of journalists.

My chosen firm said a while back they found at any one time about 75% of their clients were profitable, and that’s what they also heard from academic studies.

But there’s that key detail that’s always missing - profitable over what time period? - a month, 3 months, a year, since records began?

Meantime I’m happy to go along with 75% of active traders are currently profitable.