Online Forex Trading – Accepted Wisdom That Will Lose you Money

by Sacha Tarkovsky

When I read of lot a accepted wisdom by experts, called so I wonder if have people these actually traded in their lives.

Here is advice common some that I see time, the all that if you you it follow will lose.

Don’t fall into of trap the accepting it or following it.

Here are 6 favorites: my of

1. Day trading low a is risk high reward trade to way

How many writers see you do talk about day how and trading successful they are at it?

Lots!

Now:

How many of show can them a real time of record track profits over term? long the

None.

This is simply way dumbest the to trade there is.

All short term random. is volatility

You can never odds the get in your favor will you and lose and lose quickly.

2. Knowledge is power

No its not.

Only the RIGHT power. is knowledge

Trading is made by complicated very many experts yet, work systems simple best and the for problem real most traders is confidence self acquiring in their own discipline. and ability

Most traders like others follow to and if you that, do you will more not than often lose.

3. Buy low will high sell make you money

Well we all do to want this:

Pick the market sell and bottom the market high simply it’s but not possible.

Take an example:

Prices are moving so support to a trader buys, predict to trying a bottom and holds. support hope

Well, that’s a to way good lose your money price against trading momentum.

You need to the for wait turn and see move momentum price back up.

Sure, you in get won’t at the bottom odds the but will be in your favour.

On the other a hand, breakout occurs of highs market important so the trader thinks:

Can’t buy that for waits and the pullback.

Of course, comes never it and the trader watching left is one of the of trends biggest the year accelerate him. from away

He should of bought have course the first break!

It’s a fact:

Most big trends breaks from develop of important market lows or highs and if you them follow don’t you won’t catch trends. big the

Fact is:

“Buying low and will high” selling never make you high Buying money and selling higher will”

4. Listen to the news.

This is a to way great lose money.

All those experts about convincingly taking where prices should it’s and go all so believable.

Of course, where go should prices and where they are go, do two different scenarios.

Experts are not are and traders there to entertain good give and stories.

More often than wrong their not – don’t listen expert, an to use your own make and brain your own mind up.

5. Paper trade you help will

Use a demo you and account will sharpen your a To skills. degree it’s true, use its but is limited you helping in become a good trader.

As there is on money no the line and paper pressure no trading is easy.

When you’re in world brutal the of real trading of thousands and dollars are on the line the experience is far harder.

6. Trail stops quickly

The idea here lock to is in profits.

Most traders become with obsessed so doing this they stopped get simply out of a are and trade never able to big a follow trend.

The fact is involves trading forex taking a risk.

Try and restrict to risk the much and you never simply will make any big profits.

Traders get so avoiding with obsessed risk they actually and it create guarantee they will lose.

These are 5 favorite my of accepted wisdoms that you see will lose and we some cover will more in part this of 2 article series.

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