Why 90% of retail traders fail...

PowerPips posted:
Trading is easy. [...]

When you think Trading es easy, so you can trade. ;-)

That's the most reliable indicator. But first you can trade and then you get the feeling that trading is easy.
It's the same with a lot of other things in life , for example driving car etc.

Trading should feel easy. Especially with respect to you emotions. You should be cool while trading.

Greed, fear, inexperience and a combination of the three.

too much leverage :)

I believe that here, one should distinguish real traders from one day traders (or so-called traders). Please agree that becoming a successful experienced trader is a long and difficult way, and those who try to get rich in a couple of hours are just crazy. of course first of all it is needed to learn, invest in yourself, retrieve lessons out of failures, and make your success step by step, even if you sometimes feel very upset and don't have the wish to continue. I think that those creepy 90% (or even 95%) fail exactly under such circumstances. I also agree that high leverage without risk management just blows newbies' accounts away

Lagurteng posted:
I believe that here, one should distinguish real traders from one day traders (or so-called traders). Please agree that becoming a successful experienced trader is a long and difficult way, and those who try to get rich in a couple of hours are just crazy. of course first of all it is needed to learn, invest in yourself, retrieve lessons out of failures, and make your success step by step, even if you sometimes feel very upset and don't have the wish to continue. I think that those creepy 90% (or even 95%) fail exactly under such circumstances. I also agree that high leverage without risk management just blows newbies' accounts away

I agree with you Ognen, It is a hard and anyone who wishes to make profit in Forex needs to be determined and willing to learn the hard way. No successful trader has not gone through the hard lesson of losing several times , but they stand up and try again. Many people do not have the determination or do not focus enough of the technicalities of the Markets.

FX-Parity posted:
Check out the blog - you might like it :)

https://fx-parity.tumblr.com/

Greed
Lack of patience
Lack of understanding
There is nothing like free lunch:)

There are lots of wise answers represented here. I have noticed that many new traders misbehave one wise rule provided by many brokers: Do not put more money in a broker that you cannot normally live without. Whi it is so disregarded, I wonder?..

Don't take from the acc regularly. Compound.

over leverage, no tracking of performance, trade on emotions.

FusionPRO posted:
Greed, fear, inexperience and a combination of the three.

There are many reasons why so many traders fail,first off id question this figure of 95%,I think it is less,its used by the media to scare people into getting worthless training by so called experts.Secondly what they teach has little use in the real market,too much technical analysis ,poor planning on risk,2% max per trade should be the limit,tight stop losses,no doubling up on loosing trades,over trading,stick to one product and become a specialist ,then you can try a second product,before you trade get an overview of the market-positive or negative ,look at the indices related to what your trading.If you like stocks,pick one stock and do your homework on it,then wait for it to get cheap,if you can trade with a true ECN you wont have your broker trading against you.Watch out for support and resistance areas ,its nice place for knocking out your stop loss.

because averyone wonna fast profit and they start to open every minit big lots and blow up / especially sure after some profit they hope that profit come again :)

Trading is no get rich quick scheme,unless your extremely lucky and the right place and right time,if you protect your profits you have a chance.

Two human traits that kills the account

fear and greed

We have to take advantage of other peoples fear and greed.

same concept applies to any businesses.. impatience and greed.

This brings us to the single most important reason why most stock market traders fail to generate money: a lack of understanding. They also use solid money management procedures, such as a stop-loss and position sizing, to guarantee that their investment risk is minimised and returns are maximised.

Forex trading is not just about technical and fundamental analysis. It's more than that. It has huge emotional impact. Without a solid mindset it's not possible to be successful. Most people fail here.

Why 90%. I am seeing this ratio for a long time. Why isn’t yet improving?

Traders fail especially newbies due to a lack of knowledge and experience.