Risk and Forex
Mitglied seit Dec 10, 2017
210 Posts
Dec 11, 2017 at 08:25
Of course this is a risky business. When you build a portfolio, actually you make a diversification of risks.
Mitglied seit Dec 10, 2017
210 Posts
Dec 11, 2017 at 08:27
mlawson71 posted:BonkersBit posted:True, most are scheduled. But you also have events like the Swiss bank unpegging the CHF which threw the market into chaos totally unexpectedly.
Those are risks but they are not that often. Usually they are when there is a economic announcement and those are scheduled
These ocasions (like black Wednesday, or the wave of devaluation im post-USSR countries in recent years) are fully planned and governed.
Dec 13, 2017 at 09:49
Mohammadi posted:
Practically despite of good trading knowledge there is nobody who can predict the real faction of this market with certainly. So, obviously this is a most risky trading place form any other business platforms and for keeping survive in a proper way we have to acquire proper trading knowledge , most accurate risk management pan ETC. otherwise we can fall a great loss when trading practically.
The fact is to study, many people believe that for financial freedom, it is as easy and tasty as taking the first plane to travel wherever you want since you can work with any site, but you do want to know and follow the trends in the market
Mitglied seit Dec 10, 2017
210 Posts
Dec 21, 2017 at 07:46
the_who posted:
Talking about risks and unpredicted events I hardly recommend you the Nassim Taleb's book the Black Swan.
Thank you, I'll keep it in mind.
Mitglied seit Mar 02, 2017
50 Posts
Dec 22, 2017 at 10:47
Toothed posted:
The truth is black swan events DO happen. And if you are using high leverage then it only takes a minor black swan event to devastate an account
Exactly... an event like Swiss Franc crash was unexpected... high leverage and no Stop Loss was enough to send Fxmarket to chaos...
Trade safely... Remember, a high Drawdown means a high risk!
Mitglied seit Dec 10, 2017
210 Posts
Dec 25, 2017 at 15:54
Arcferreira posted:Toothed posted:
The truth is black swan events DO happen. And if you are using high leverage then it only takes a minor black swan event to devastate an account
Exactly... an event like Swiss Franc crash was unexpected... high leverage and no Stop Loss was enough to send Fxmarket to chaos...
Many brokers have failed then, can you imagine the common traders/investors?
Mitglied seit Mar 02, 2017
50 Posts
Dec 26, 2017 at 08:01
Justice1024 posted:Arcferreira posted:Toothed posted:
The truth is black swan events DO happen. And if you are using high leverage then it only takes a minor black swan event to devastate an account
Exactly... an event like Swiss Franc crash was unexpected... high leverage and no Stop Loss was enough to send Fxmarket to chaos...
Many brokers have failed then, can you imagine the common traders/investors?
Yes... if your broker was one that failed... but traders that use low leverage and SL in trades survived.
Trade safely... Remember, a high Drawdown means a high risk!
Dec 27, 2017 at 15:32
Risk exists everywhere and always, even leaving your home, you can possibly hit by a car or brick can fall on your head. But without risk there is no profit. Starting a new business you are always at risk. Forex is very risky, but I believe that such risk is justified.
Mitglied seit Nov 29, 2017
30 Posts
Dec 28, 2017 at 11:22
Brokers take the ultimate risk for the simple fact that they provide us leverage. Many people think that if you have a SL it will be honored, but in most cases when the entire broker goes under no money will be recovered. It wasn't fraud. It was over-leveraging. :) Yet, the brokers take the risk because black swan events are very rare and they will spend years raking in money from people who deposit and never seem to be able to withdraw. A 5k startup can make you 100k easily on commission from b-booking accounts from new account holders.
Mitglied seit Dec 11, 2015
1487 Posts
Jan 02, 2018 at 15:42
I think that newbies who don't know what they are doing probably take on a much bigger risk than a broker managed by professional traders and economists.
Mitglied seit Dec 10, 2017
210 Posts
Jan 08, 2018 at 07:23
Arcferreira posted:Justice1024 posted:Arcferreira posted:Toothed posted:
The truth is black swan events DO happen. And if you are using high leverage then it only takes a minor black swan event to devastate an account
Exactly... an event like Swiss Franc crash was unexpected... high leverage and no Stop Loss was enough to send Fxmarket to chaos...
Many brokers have failed then, can you imagine the common traders/investors?
Yes... if your broker was one that failed... but traders that use low leverage and SL in trades survived.
Luckily, mine exactly was inpact. :)
Mitglied seit Dec 10, 2017
210 Posts
Jan 08, 2018 at 07:24
But, clearences like this one, raise a lot of questions. They are also a good test both for brokers and traders.
Mitglied seit Dec 12, 2017
10 Posts
Jan 09, 2018 at 08:06
It is a matter of having good predictions, and graphic analysis is a graphic way of predicting the future of markets, as well as values, it is ideal to work hand in hand with it. Fundamentally it is based on the study of the figures that form the prices of the shares as the indication of the trend that can follow in the nearest future; that is to say, the prediction of the market itself generates that the same predictions are almost always produced, it does not guarantee that you always succeed. But if it's much better than working with your eyes closed
Mitglied seit Oct 08, 2016
58 Posts
Jan 25, 2018 at 02:37
There is no certainty in business including Forex, even this is the most challenging profession where we traders can lose all of our trading capital just within a minute, that’s the importance of money management policies! By the way, I have already reduced my risk reward ratio so smartly according to my long-term trading knowledge and experience!
To change your trading result, just change your thinking.
Jan 25, 2018 at 07:11
As a beginner, first thing you need to do is to common in Forex trading and that means you need to have lots of extra time not only in trading but in learning also. And the most important thing is that you need to spend lots of time practicing and not going to make profit or don’t expect to get profit in the first two or three months.
Jan 26, 2018 at 13:32
Every faction in this trading place contains always huge risk , so no way to avoid it in spite of having most powerful trading knowledge. But if we more disciplined and have a conscious about risk management of course we can be profitable from this risky volatile platform.
Jan 30, 2018 at 10:50
In Fx trading , by and large traders in particularly the newcomers fall a great loss by taking high leverage due to non sense planning and zero risk management policy, nothing to do with high leverage at all. so, I think, before trading with high leverage we have to know how to manage risk.
