Newbie's quest - where are the profits come from?

Looks like it is very very easy to get some positive gains from Forex trading. I saw dozens of posts from newbie saying that they earn a lot of money from trading. And Forex brokers could be the most active advertiser on the internet, I saw their advertisement everywhere.

So there is brilliant picture before me, the money is just overthere, what I need to do is to open an account and get it…

Wait, it is just too good to be true. If most of the ppls earn money, and brokers earn money too, where are these money come from???

Below is some answers I can imagin:

  1. The money is from those losers.
  • This is difficult to believe, as it looks like most of the ppls earn money.
  1. The money is from those who indeed need to change the currency, so they dont care the exchange rate.

Any other answers? :confused::confused:

The same quest could be posted before, but I dont know how to search such topics.

The money does indeed come from the losers. Unfortunately the forex market can’t produce money from thin air. :slight_smile:

Those newbies that post and say they’re making tons of money in the forex market [I][B]are [/B][/I]the losers. They don’t understand money management and they lose it all just as fast as they make it. :slight_smile:

Not so much losers just people that are buying and selling for less than original price.
Like if I bought a tonne of apples at �1 per apple but then had to sell them at �0.98 per apple.
Even banks lose at this game, no? Bank vs bank, they’re always trying to outwit each other with strategies.

phil838, I think you have just spoken the truth because recently saw a post here talking about thousands of euro he or she has made and not quite some time the person came up and started crying like a baby that he lost all he has made in a trade, honestly i became scared of myself wheither to go into trading or not. But i still want to give a trial to see if i could do it. Presently i have drawn out my plan which i call “operation shine eye” this is my rule i just have to steak with no matter what the condition is. This are the rules;

  1. I must check and know what market will be like for the day from my subscribe forecasters before even opening my trade platform in my computer.
  2. In every market i place i will only need 20 pips as my take profit and i exit my trade for the day except i have and see a strong believe that market direction has more bullish or bearish moves, then i place market less than earlier market placed.
  3. I will only be trading on two pairs which are GBP/USD and EUR/USD for now.
  4. I will be closing all my open position before US session close.
    With these mentioned rules i want to test the market with $100 - $200 deposit with before i go live with alpari with nice capital lets say $10,000. But yet i haven’t know the lot size to work with because the effect of it is not known to me in my demo account.

Dear all,

Thank you for the explaination and education. I will be more careful when step in this game.

Thanks again.

First word after the beginning dots (Bold):
That’s where the problem starts. :smiley: :smiley: