The Main reason Why Forex Traders Fails.

I rest my case. This is a complete scam.

https://fxtrade.oanda.com/community/fxmessage/ultimatebb.cgi?ubb=get_topic;f=8;t=000622;p=1#000000

https://www.warriorforum.com/members/ezekiel-chew.html

LOL - supertrader !!

Arsehole is a pro spammer.

'
08-10-2011 03:57 PM - permalink
MaggieMay
Hi,
 Thanks for signing up to promote my online gaming goldmine. This report deals basically with social gaming which is a massively growing industry. Welcome aboard and lets hit the jackpot!!
 Best,
 Maggie'

07-08-2011 09:34 AM - permalink
DawnMarie
Thanks so much for promoting Offline Video Virgin - If you make 50 or more sales, I'll personally write the sales copy for your next WSO!

 One affiliate already has 90 sales, so it can definitely be done.

 Are you up to the challenge? :-)
 -DawnMarie

Most forex traders fail because they think their trading method has an edge, while in fact there's none. Psychology, patience and discipline are the buzzwords, however the crucial problem is most people don't know exactly what they're doing. But they are convinced they do. How can you patiently wait for a setup or exit a trade optimally if you don't know exactly what you are waiting for? How can there be any discipline enforced if you excuse your mistakes with another buzzwords like 'discretion'?

If there's a sound, really working method with a real edge, there can't be a problem with psychology.
Any problems seemingly caused by psychology are just symptoms of uncertainty in trading.
Psychological aspects are secondary, not primary.
They are the effect, not the cause.

It's like driving a car, but much harder because the road changes while you are driving.
It's like taking a walk in an earthquake.
Hard to master, but not impossible. We're just used to a static or easily predictable environment too much.

I was supposing I had problems with psychology earlier,
whereas in fact, I didn't know how to trade.

just my 2¢

Amen....but you're bumping a web marketers thread. There's no topic here.

a-ha! checked the entire thread now. lol. thx!

@ vp730
Well put, you've hit the nail on the head. I started my trading journey by signing up with a trainer. While I have no doubt about his sincerity, after a year of training under him, I began to observe that his technical system was flawed. It had to do with MA cross-overs and other indicators. When questioned about it by students, he would get a little riled up and give many reasons for why their trades failed.

You have to bear in mind that some of his students were engineers who could design and build a petroleum refinery from scratch, much less read a chart. The sad thing is that there were also less analytical folk, moms and pops that would basically have to rely solely in his guidance in this unforgiving industry.

I picked up mql4 and after a while, coded his system. It did not work. I spent another 3 weeks refining the code, trying to improve the entries/exits, built filters, etc... and got the win-loss ratio to 1:1. After that I was pretty much disillusioned.

I went back to his gatherings to see what I might have missed. Then I realised that he would always be describing entry setups using historical periods, where it is patently obvious that an entry condition was fulfilled. This is flawed because you can find as many scenarios where the same setup fails. And you must always test your system at the leading edge of the market, not on a historical period.

When questioned about the failed setups, he would go into defence mode and brush you off with a witty quip. Tragic thing is that I truly believe he is not a fraud, but that he could not see the flaws in his own system.

His system delivered no edge.

I reckon this also applies to what PipGnostic is saying, that if you get a mentor that leads you down the wrong path, you waste a lot of time and money.

I suppose also if Ezekiel did not sign off with 'Asia #1 Forex Mentor', he would just be expressing an opinion rather than implying he teaches this stuff to his mentorees. His post on the Oanda forum is also just positive psychology on taking affirmative action, I don't see the scam angle. The WSO marketing stuff is a little strange though. Granted, with the little that is known, I don't think he is qualified to teach, but let's give him the benefit of the doubt and let him prove himself.

Raiden,

Ezekiel doesn't mentor or trade, he is web marketer and this is just spam. He promotes other peoples product. Any product.

You all need to see FXCM's statistical video. The main reason why forex traders fail has NOTHING to do with their strategies - all of FXCM's customer base, for the major pairs - successfully take profitable trades over 50% of the time. However they lose overall because they have poor SL/TP ratios.

The ACTUAL number one reason forex traders fail is because they use very poor or nonexistent money/risk management.

That's not the reason. OF COURSE they take profitable trades over 50% of the time IF they use poor SL/TP ratios, that's pure probability. Once they start using good SL/TP ratios with the same strategy, they will stop winning over 50% of the time.

Hi Sebastian

Thanks for the link. It is certainly interesting but I think there a great many reasons why traders fail and this is just one of them.

The SL/TP is definitely important but in my opinion just one of the factors that contributes to traders losing.

We are not 'genetically' well programmed for the 'game' of Forex trading which means that many of our 'responses' which we are conditioned with from an early age actually prompt us to make precisely the opposite decisions when we are faced with Forex trading.

This is huge area and one that is not remedied by using automated trading systems alone.

Think about it. There are only so many ways to trade with an MA for example, a limited amount of currency pairs and TP/SL combinations that can be created. Yet with the the vast amount of research carried out by traders and the constant stream of systems being released to the market all the time you would think that someone would have created a foolproof system by now?

Of course not. Forex trading is a moving target and the last thing that most traders look at when then fail is themselves. Its always the strategy or broker that is blamed... when most should blame themselves. :-)

I think that using sl/tp, money managment, etc, depends on emotions, the less you control yourself even when you win make you stepout when you dont have to, and also when you 'think' the market will turn to your way when we loose.
A good strategy is the one that keeps out our emotions.. just my thought :)

it is a combination: most of it is emotions, the majority of traders doesn't understand this. secondly, imho, it is the wrong broker, again the majority of traders doesn't understand how to chose the correct broker and probably a good portion of all brokers are bucket shops. so even if you were a good trader, you wouldn't stand a chance. my first live trading account (pure luck, but i didn't know then) went up from usd 2000 to usd 7500 within weeks. ok, good old times where we didn't have mini- and microlots. anyway, i did send a fund request for 4000 and all i got was a correction in my account. all profit trades were cancelled, all losers were valid. by the way: that was GCI.

   fxsystemtrader posted:
   Hi Sebastian

Thanks for the link. It is certainly interesting but I think there a great many reasons why traders fail and this is just one of them.

The SL/TP is definitely important but in my opinion just one of the factors that contributes to traders losing.

We are not 'genetically' well programmed for the 'game' of Forex trading which means that many of our 'responses' which we are conditioned with from an early age actually prompt us to make precisely the opposite decisions when we are faced with Forex trading.

This is huge area and one that is not remedied by using automated trading systems alone.

Think about it. There are only so many ways to trade with an MA for example, a limited amount of currency pairs and TP/SL combinations that can be created. Yet with the the vast amount of research carried out by traders and the constant stream of systems being released to the market all the time you would think that someone would have created a foolproof system by now?

Of course not. Forex trading is a moving target and the last thing that most traders look at when then fail is themselves. Its always the strategy or broker that is blamed... when most should blame themselves. :-)

I agree.
Very well summed up.
Long may peoples nature stay that way, so they can have fun betting and we can have fun making money.
P.

I'll have to agree with the good advise posted by the experienced traders. I must admit I have no idea where the market is going to go next, because I don't have the ability to look into the future. All I know is to react, manage my open positions, and control my risk.

For those that strangely believe they can forecast and place their over-leveraged bets with fond imagination, I'll love to win over their accounts. Hopefully this 2cents nugget adds on to the list of reasons traders fail.