No responsible or decent person would every try drawing foreign exchange traders in to the industry by telling them stories that the virtual streets of Forex are paved with gold. It is an undeniable fact that 90% of people who try their skills and strategies at foreign exchange trading retire hurt. Some of them lose their stake and some of them realize that they are spending hours, days and months looking at screens and charts that are telling them they are making no money. Eventually they begin to believe the charts and set of to find a new source of employment.
But what about the other 10%? What has set them part? Was it luck? Anyone who understands anything about foreign exchange trading knows very well that there is so no such luck in it. Are they born natural foreign exchange trading? Again no such thing. So what set these people apart from the flock?
The answer is the development of latent personality traits is what set them on the road to success and the rich financial rewards that Forex can bring.
They run as follows
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Being involved in foreign exchange trading is not a picnic. You need to be prepared to invest money in equipment, software, training and acquiring knowledge. You need to invest as long as its takes to use the simulation software to establish, hone and sharpen a dealing strategy that will earn money steadily. Research is all, and when you are ready to put your toe in the water, you have to be ready. Foreign exchange trading can be a cruel and unforgiving place, and nobody will give you a second chance, no matter how hard you cry. On the other hand don’t be afraid to make decisions. Sitting on the fence too long, will also harm you position. Trust in your knowledge and believe in yourself, and you won’t go too far wrong/
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There are many brokers who will trade on your behalf. A good idea for the absolute novice, however their fees will be coming directly out of the very narrow margins you will be earning through them. It will not take too long to realize that you should have left your money in the bank, earning interest, and your shiny new computer to play with your play station. Don’t be foolhardy, but be prepared to take calculated risks if you believe in your strategy it will pay off in the long run.
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If you make some profit, don’t rush out and spend it the next day. Tomorrow is a new day, and who knows what it can bring. On the other hand, it is always a good idea to take some profit, if only to buy food or pay your utility bills, especially the one from the electric company. Any profits that you can reinvest in your company will only make you stronger, and allow you to reap larger benefits in the long term.
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Any person who works from home will tell you that one of the greatest millstones is discipline, or the lack of it. The more hours that you are sitting opposite your computer screen, the more clued in you will be. It is very tempting to become distracted, but resist it. It will cost you.
These three traits are the ones which will take you to the land of riches and success. If you see them in yourself, then the world of Forex will be your happy hunting ground.
The problem is that most traders are lured by the potential of big profits.
Small profits can make you a lot of money due to leverage.
Everyday, there are oppotunities to make 1% or more on your money. If you just make 1% per day and trade each day, in a year you triple your money WITHOUT compounding!
We suggest traders use a non deal desk broker like http://www.efxgroup.com and start with a small $500 account. If they are successful, they will see their account grow.
Trading is a very simple process.
Avery Horton
May 28th, 2007