Forex Trading Mistakes – Common Mistakes Losers Make Which Will Slash Your Profits!

The mistakes enclosed are easy to avoid but the bulk of traders still make them, so avoid them and you will get a head start in your pursuit of Forex trading success.

Anyone can learn Forex and anyone can win but these mistakes are guaranteed to lose you money, so lets take a look at them.

Using Cheap Software Packages

Financial freedom with no effort is the message the Forex software vendors sell and all for a hundred dollars or so – if it were true the whole world would trade for a living but the reason these software packages are so cheap, is because they lose money. Avoid them or you will lose your account equity quickly.

Forex Scalping or Day Trading

Promoted as a low risk from of trading, its the highest risk form of trading you can do – why? Because all short term price movements are random. Think about it, you have to figure out what millions of traders are going to do in minutes or hours and that’s just not possible, you can’t get the odds on your side and will lose – avoid trading short term.

Scientific Methods

Robot traders, talk about science helping them win but they lose money, you also get the far out theories of – Fibonacci, Gann and Elliot Wave. They all tell you prices move to science but if they did we would all know the market price in advance and there would be no market.

Markets don’t move to some higher force and cannot be predicted, so simply trade the reality of price change and while you won’t win every trade, you will make a lot of money.

Working to Hard

There are lots of traders who think they can force the market to give them money, so they work hard and trade to often; they take low odds trades and lose. The savvy trader focuses on trading less, hitting high odds trades and makes more money. Don’t work harder than you need to.

Trying to be to Clever

Many traders think the cleverer they are and the more complex their system is, the more money they will make but this has no basis in fact. Simple systems work best and always have. If you want to win, keep your system simple and robust. You don’t get rewarded for being clever in Forex just being right with your trading signal.

Why You can Win

If you want to win, keep your method simple, focus on long term trends and trade the reality of price change and you can make a lot of money. Forex trading success is not about working hard or being clever. its about working smart and applying a trading strategy with confidence and discipline.