AliForexTalks posted: Yes, because the market can be volatile, there is always the risk of losing money when trading a currency pair. In addition to the inherent risk linked to trading, with Forex trading you need to add margin trading and leverage, which means that you can trade large amounts with little initial capital.
Loss is a common thing in this market. You need to make a good plan to reduce the losses.
Well, there are some traders who always are afraid of losing their money. In my opinion, it's a great mistake, because such fears never let traders to reveal their potential in trading activity. You always restrict yourself in your mind and always try to lose as less money as you can. Don't be afraid of losing money, because it interferes your potential success. Lost all your money? Nothing bad. Just earn money again in other activities and return to trading. You can acquire solid experience only in case of proper trainings and frequient practice. Never leave trading activity until you understand that it's not something that you really want to do.
I personally don't think that traders should be afraid of losing their money. Trading activity alwys implies risks, these risks imply losing money, hence if you once have decided to join trading activity, then you shouldn't be afraid of losing your accumulations, because you came to trading with these thoughts. Of course, it's kinda incorrect to set up your mood like that, however it may help you to avoid serious consequences fro your mental health after losing your money. Nevertheless, traders always should be positive in order to have strengths to open new opportunities for earning funds. it sometimes can be pretty difficult, but anyway it will help you a lot.
Loss is part of trading, usually if afraid with the loss will mess up the trading plan, trading needs to keep in mind if loss is sometimes inevitable, but we need to make risk management using stop loss or another trading strategy, if we afraid, hence will doubt in trading and this not good for the end result
Definitely yes when it’s a high risk and reward trade but most often I keep my risk to reward ratio lower. Initially it was a big deal to me and I used to be so disappointed with my losses but now I’ve made peace with it and am trying to focus on improving my trading skills.