Losses can be avoided to a certain extent but they will surely exist in a market this volatile. Just like profits, losses are a big part of forex. Obviously, traders can use different strategies and aspects to reduce these losses from time to time like stop loss orders and other risk management techniques.
Our goal should be to cover the loss instead of avoiding loss. We cannot completely eradicate losses from our trading. There is no such trading strategy wich will give you 100%profit. One must focus on ways to cover the loss incurred by making more winning positions.
Loss is inevitable when trading, the most important thing is to make more than you lose. If you look at it that way losses don’t seem to be that big of a deal. For beginners, it’s worth celebrating even if it’s only a small profit in the end.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
You could lose some or all of your initial investment. Do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
Any data and information is provided 'as is' solely for informational purposes, and is not intended for trading purposes or advice.
Past performance is not indicative of future results.