“So why trade like every other schlub that is losing money?”
Most aspiring traders fail because of a lack of true understanding of the markets, due to the fact that most aspiring traders attempt to gain knowledge from the same places that feed on their wallets.
“Forex is primarily about goverments, banks, and businesses.”
This quote I would agree with.
“Many of you trade as if every move made by the market happened in a deliberate fashion; as if everything happened for a reason. Many of you trade as if technical analysis and indicators move the markets. Many of you fail. Coincidence? Likely not.”
I would agree with this statement to for the most part.
“Yet retail transaction volume comprises only 5% of the market. What percentage of the non-retail trading volume is placed in a non-speculative fashion, but simply occurs as a result of foreign exchange? That percentage could be seen as the randomness of the market. Clearly it varies on any given day.”
I assume you’re referring to mandatory fills. These happen throughout the day at specific times. There are trading systems built just around them. An example would be 10 to 1030 New York Time. You often see the market changed directions due to mandatory order fills coming in. Sometimes this is called housekeeping.
Something I was surprised that you left out was the bots. Bots comprise the majority of the actual trading in the Forex market. As a price action trader one of the things I look for is to try to figure out the pattern of the active bot is currently manipulating the market. Once I see the pattern created by the bot that I can trade with it and make money as it drives the market. Probably one of the easiest to spot is the Fib Bots. These can be seen easily using the MT4 program. (Not going to delve into how as this is your blog and I’m not going to corrupt it). By bot I mean algorithm for those of you in Rio Linda California Good trading to all Allen