Hey I noticed you’re replies are asking about can people make money monthly and are people profitable and can you really make money.
You can with forex but it is very very hard, I am profitable when I actually have time to trade which isn’t much to be honest, however it has taken me agessssaaassss to get there. You really need to patient and practice and please stop worrying about making money that’s why you have a job( if you do have one I hope) to bring money in. But I do say make sure you’re also investing into the a stock market index fund for the long term future. I know a lot of people will hate me for this but I find stock a lot easier because you can use technical analysis and fundamental ratios. And I know what people are gonna say you can’t just use ratio TA for stock what about management however numbers don’t lie and can be mesasured.
Any I Digress just be patient have you done baby pips school? I would do this however one bit of advice is to ignore chart patterns, they don’t work and they are made by/ used by the industry so they are not reliable as they once were. Focus on trend lines and support and resistance lines, will notice a story happening with each Pair.
I think one of the key reasons why you are not profitable yet is the style of trading. We have been taught to trade like retail traders (using trendlines, indicators, etc). I think it is important to evolve from that and study smart money and how they influence price in the forex market. Once you start seeing how big money players play in the forex market, you will experience a paradigm shift and thus be able to seek out high probable risk to rewards trade.
Remember that 97% of retail traders fail. Observe the masses and do the opposite. Please reach out if you want to talk more about paradigm shifts
I liken trading in forex to any other skills based activity. Take football, lots of skills to learn, but still no guarantee of success. Do you have the right game plan, the right tools? And are you constantly working on your skills?
And even then your opposition might win…
If you’re making money, then you will know that if only a new trader had realistic guidance early on, it would never take them thousands of hours to become competent and consistently profitable.
If you’re not making money yet, do not listen to these guys who tell you it takes thousands of hours. They are certainly not trying to help you, they are more concerned with how they good look to other people.
In short the answer is yes. FX trading is just like any other business. You have to be passionate and dedicated. They say it takes about 10000 hrs to become proficient in any skill and I can personally vouch for it as this is how long it took me to become really good at it where I now feel highly confident. Let me also warn you that it is not a get rich quick overnight business. You will have many setbacks and you will learn more from these setbacks. I was a losing trader for 2 years before I started to BE and it really took me around 4yrs to start becoming profitable. The only that kept me going through the early setbacks was my child like fascination an passion for trading.
"Remember that 97% of retail traders fail. Observe the masses and do the opposite. Please reach out if you want to talk more about paradigm shifts"
I chuckle every time I see these stats being thrown about. Did you personally conduct the survey? There are so many lies being peddled in this business that they just become truth at some point.
“In other words the 10,000-Hour rule is nonsense,” Brain’s Idea writes. “Stop believing in it. Sure, practice is important. But other factors (age? intelligence? talent?) appear to play a bigger role.”
Amirfx14, to be successful in any trade, in any skill, in any vocation, you have to spend time and energy. It might take several months to several years. If trading forex is a passion, then let it come first before profit. Be process-oriented than result-oriented. Hone your skills, Develop a successful strategy, plan, rules and system that you will strictly follow when you trade. You are the only holy grail to your craft. Trading is more of psychology and risk management more than anything else. You can teach 100 people ONE exact strategy to trade but they will all come up with different results. Why? It’s the emotion, psychology, Risk:Reward ratio, and risk management (you know, that fear and greed kinda thingy). Start focusing on the process, follow it, tweak it and back test it. It doesn’t matter if you trade 1M or 100 dollars, it’s about YOU!
This is the best advice i ever got, on small account, it has helped me too, by giving hope that even $10 on top of $100 of equity is better than even what most banks will offer in a year, and more so not to focus on the profits but the lessons and consistency, thanks very much sir @Hodson
The number of losing traders that you mentioned is too high, for example Hotforex says that only 79% of traders lose their capital, for Tickmill this figure is 81%. Generally this % is in the range between 70-85% so I guess we have quite solid chances to become successful
Hello tommor, could I ask if I could go into more detail with your trend following on the daily charts. Are you having much success at this at the moment with trends on the daily and if it is not too much trouble could you give a recent example of one of your trades. Do you use price action as well?
Cheers John.
The system is giving decent returns and is simple so it takes little time to organise orders and stops. Its highly objective but there are some risk management tactics which would be open to the individual’s preferences.
Uptrend is when price made last close above 50EMA, and the 50EMA is sloping upwards. That’s it.
Entries are by pre-set order only. A long entry price would be at the high of any day in an uptrend which is lower than the previous day’s high. Stop-loss at the low of the entry day (or more conservatively entry minus 2 x ATR20).
Exit manually at either the close of any subsequent day when price makes a high lower than the previous day’s high or at the close of the 6th consecutive day with higher highs (or more conservatively the 5th).
Or exit via trailing stop once the position has got into profit.
That’s about it really.
There are built-in features which will not appeal to some traders -
the definition of trend means all charts are in either an uptrend or a downtrend except for rare occasions. So it means being long or short or have buy or sell orders on almost every forex pair at a time.
exit can be signalled at the close on a day with a lower high: but this is also an entry signal, if that day’s high is breached tomorrow: so probably many traders would prefer to ride the position another 24 hours and see what happened.
Im not sure these figures are accurate though. I started my account with $30.00 and i made 75.00 on my 30. I just paused to learn more because i basically trading blindly. Imagine if i knew more of what i was doing what i would have achieved. I also have friends who started with the same and today they have over 1000.00 in their account. and have transferred from their broker accounts. One just needs to have proper risk management and manage ones emotions. all along with a good strategy.
You need more than one and a half year to get consistency.
Just keep struggling, and eventually, you’ll reach there.
Most people lose just because they give up before they finally understand what to do and how to do it.
Pick a strategy that you like, and stick with it for a year or more and practice it every day.
Regardless if you are profitable or not, just keep doing it.
Just make sure you trade the same way every day.
You will only be consistent trading if you do the same things over and over.
You cannot be consistent if you do different things on every trade.
When you have a good history, then analyze it frequently.
Check what you can improve, what’s making you lose and what’s making you win.
Tune your strategy according to that and keep analyzing your results after that.
You’ll have days where you’ll not obey your rules, your trading plan.
On your trading history, create a simulated scenario of what would be your account curve if you would have followed the rules.
Once I did that for myself because some days I was not stopping trading when I hit my daily loss.
So I created a scenario on a spreadsheet, where I would stop trading when my daily loss was hit, like I should. This is a 7 month history graph.
After this analysis, I no longer had problems to stop trading when my daily loss was hit.
Forex is a very difficult market to trade. I personally like to trade stock market futures, and options. There a lot of options for trading. It amazes me that everyone on here is so into Forex. Why? However, like every other market, it is possible to make money in the Forex markets. This book doesn’t have anything to do with Forex, but it is a great book: Psycho Cybernetics. It is a book about changing your self image. The reality is that it is going to be difficult to become a successful trader unless you already essentially believe that you are one. Can you imagine yourself as a successful trader? What does that mean for you? Can you believe and imagine that you are talking to someone and they ask you what you do, and you say, I am a successful trader. Now, I really doubt there are all that many successful traders that solely concentrate on the Forex trading. Not having any real volume information is incredibly stupid, and a tactic used by the banks to hide information about what they are doing. Why did the banks create their own instruments for them to move around money, and be able to hide what they are doing, so you can’t see the real volume. If you trade currency futures, at least the volume means something. Why don’t you guys go get a futures account and start trading currency micro futures? One thing to note there is there are no crosses in futures. The crosses were created by the banks. They are illiquid and high risk, and I doubt any successful traders really trade them. In order to make money in trading, work on creating a trading plan. Develop it while paper trading. Get to where you can make money over many months using the plan you develop. Then, start to trade with some real money. Stick to the plan or else you will never know if your ideas are correct. Usually, trading plans you develop will have a maximum level of risk per trade, such as 1 percent. 1 percent is idea because it allows, for instance, 10 losses in a row, and you still only have 10 percent draw down. Draw down is something that beginning traders often don’t think about. If you draw down 50 percent, now, you have to make back 100 percent to break even your account. If you draw down 10 percent, now, you have to make back only 11 percent to break even your account. It is the obvious path to a smooth profit curve over time. Also, believe that your risk to reward ratio in your trading is the most important thing to your trading. Create a trading plan that allows you attain a good risk to reward ratio where your wins are at least twice the size of your losses.
