This is similar to saying, don’t trade unless you have other streams of income which are supporting you, so if you do lose you’re not relying upon trading profits to survive! Having the pressure of HAVING to make money from trading can have a detrimental effect on ones account as you’ll make rash foolish trading decisions. That type of pressure can have mammoth effects on your trading.
On the other hand, when you trade with money which you’re not relying on you will trade with a clearer head and a cooler demeanor.
Forex trading is itself pressure. Each trader feel pressure when he/she open a trade. However, I support the suggestion “Don’t trade with money you can’t afford to lose”.
it’s applicable to all business, don’t engage in business if you are afraid to lose your money…
I don’t see any reason why one should be scared. If you believe you are a very good trader and you can make some no matter how bad the market turn out, then there is no need to be cautious about the money you spend. Unless you are talking about broker scams and the likes. I have seen that expert traders lose big, not because they made mistakes, but because their broker got angry over their consistent earnings. This is why one should be very careful with which broker to use because this act of stealing is even more common among regulated brokers.