So you have it dealing with misleading trading indicators and trying to understand various news releases and what they mean. All of a sudden, you've been hit with a brain wave: "If I take 10 peeps out of the market every day and hold a 100% win rate, it would be easy to make money on Forex!" They all seem theoretically very simple and straightforward, but is this national system really effective? Unfortunately, this is not so easy, but at the end of this article, you will know how to make money on real Forex.
The problem with this is a simple trading system
In Forex, it is a common myth that you need a high winning percentage to earn permanent Forex trading. Forex robot marketers are very good at playing in the imagination of a high winning percentage system, and often advertise a 90% or even 95% win rate on their advertising content. The truth is, you don't need a high win rate to make money on long-term forex. In fact, more profitable forex trading systems tend to only rate 40-60%.
Another feature of profitable forex trading systems is that wins are much bigger than their losses. That way they make up for the low win percentage. There is no real sense of business for a small profit, because you need as much profit as possible to pay for the inevitable loss that you suffer. If you limit your profits to 10 pips a day, sooner or later you may lose a 50 pips or even 100 pips, and you'll lose a week's profit.
How To Really Make Money On Forex
There is obviously no such thing as a loss-loss forex robot, so forget about 100% wins and 10 pips a day. This is a source of failure and frustration in your business. If you are not doing well in your trading and you lack the proven, profitable forex trading system to earn regular Forex trading income for you, the best thing to do is gain someone else's experience in the market, which means a lot of profit through research and due diligence. Identify the system. It takes time to find it, but it's worth it.
The key to making money on Forex is to have a proven, profitable Forex trading system and apply a strong money management strategy to create a sustainable Forex trading income. So don't waste time on the back of impossible high winning percentages, or small pipe gains, because your time is better spent doing business with a proven, profitable system.