| I’m going to be 100% honest with you and tell | | | | this probably doesn’t even have a trading |
| you the following before you consider trading | | | | strategy - unless you call gambling a trading strategy! |
| currencies: | | | | Forex Trading is not a Get-Rich-Quick Scheme! |
| 1. All forex traders, and I mean all traders lose money | | | | Forex trading is a SKILL that takes TIME to learn. |
| on trades. Ninety percent of traders lose money, | | | | Skilled traders can and do make money in this field. |
| largely due to lack of planning and training and having | | | | However like any other occupation or career, |
| poor money management rules. | | | | success doesn’t just happen overnight. |
| 2. Trading forex is not for the unemployed, those on | | | | Forex trading isn’t a piece of cake as some |
| low incomes, who can't afford to pay their electricity | | | | people would like you to believe. Think about it, if it |
| bill or afford to eat. You should have at least $5,000 | | | | was, everyone would already be gazillionaires. The |
| of trading capital (in a mini-account) that you can | | | | truth is even expert traders with years of |
| afford to lose. Don’t expect to start an account | | | | experience still encounter periodic losses. Drill this in |
| with a few hundred dollars and expect to become a | | | | your head: there are no shortcuts to forex trading, it |
| kazillionaire. | | | | takes lots and lots of time to master. |
| The foreign exchange market is one of most popular | | | | There is no substitute for hard work and diligence. |
| markets for speculation, due to its enormous size, | | | | Practice trading on a demo account and pretend the |
| liquidity and tendency for currencies to move in | | | | virtual money is your own real money. |
| strong trends. You would think traders all over the | | | | Do not open a live trading account until you are |
| world would make a killing, but success has been | | | | trading profitably on a demo account. |
| limited to very small percentage of traders. | | | | If you can't wait until you're profitable on a demo |
| Many traders come with false hope of making a | | | | account. at least demo trade for 2 months. If you |
| gazillion bucks, but in reality lack the discipline required | | | | can't hold out for 2 months, cut your hands off. |
| for trading. Most people usually lack the discipline to | | | | Concentrate on 1 major currency pair. |
| stick to a diet or to go to the gym three times a | | | | It gets far too complicated to keep tabs on more |
| week. If you can't even do that, how do you think | | | | than one currency pair when you first start trading. |
| you're going to succeed trading? | | | | Stick with one of the majors because the spreads |
| Short term trading is not an amateur's game and is | | | | are the best and they are the most liquid. |
| rarely the path for quick riches. You can't make | | | | You can be a winner at currency trading, but as in all |
| gigantic profits without taking gigantic risks. A trading | | | | other aspects of life, it will take hard work, |
| strategy that involves taking a massive degree of | | | | dedication, a little luck, a lot of common sense, and |
| risk means suffering inconsistent trading performance | | | | an abundance of good judgment. |
| and often suffering large losses. A trader who does | | | | |