If you want to engage in currency exchange trading, you are probably aware that 95% of traders lose. They don’t lose because they can’t win but because they make fatal errors and there enclosed – you need to avoid them at all costs…

1. The Myth of the Forex Expert Advisor

Anyone can claim to be a forex expert advisor and many do, in fact the vast majority who claim there experts and can lead you to success will lead you to disaster. They present back tested simulations, as evidence of their skills but there nothing of the sort. All they prove is they can make a profit in hindsight whereas a child could do that.

You will see lots of forex robots and systems, all with simulations that have ever made money real time with hyped copy – pass them by! The only person who can give you success in forex trading is you and this requires learning and applying skills.

2. You Need to Lose to Win

Most traders are simply unprepared to lose but you must lose to win. The fact is even the best trading systems will lose for weeks on end and you must trade with discipline, through these periods until you hit a home run.

Don’t believe anyone who tells you that you can earn a regular income or drawdowns can be avoided they can’t. Sure you can win longer term and make a lot of money – but you must be prepared to lose in the short term.

3. Trade the Truth

To win you need to trade the reality of price change and forget about predicting the market. If you predict your hoping or guessing and that will lead you to a wipe out of equity.

Markets are an odds game – nothing more. You cannot trade with the certainty of knowing what will happen next, that’s why you should trade the reality of price on a forex chart and not predict – that way you have the odds on your side and will win longer term.

4. The Simpler the Better

You don’t need to work hard you need to work smart and that means a simple trading system – not a complicated one!

Currency trading exchange is simple, yet most traders think the harder they try and the clever their system, the more they will make – but your not judged on hard work or being clever, your judged on the money your trading signal makes and that’s it.

Simple systems are more robust than complicated ones with fewer elements to break and that’s why you should keep it simple.

5. Know Your Trading Edge

Most traders don’t think about this but of course you need a trading edge and that is the reason your system will win when most others fail. A trading edge is something you understand, have confidence in and can apply with discipline. You need to have the right forex education and the mindset to apply it and I you do currency trading success can be yours.

Anyone can succeed at currency exchange trading and the difference between winners and losers is simply mindset. The forex trader is not beaten by the market, he is beaten by himself.

So if you want to win and enjoy currency trading success, get the right forex education, work smart and trade with a disciplined mindset and you could enter the elite 5% of forex traders, who make big consistent gains.

By: Kelly Price

About the Author:

If you want to learn forex trading then you should know the story of the turtles who were a group of traders with no experience went on to make $100 million dollars in just 4 years. How did they do it? Read this article and you will find out and it will inspire your forex education.

The Experiment

Legendary trader Richard Dennis set out to prove that anyone could learn forex trading with the right education and mindset – he believed that traders were made not born and set out to prove his point.

He gathered a group of people together who only had one thing in common – they had never traded before. They included a security card, some professional card players, an actor a female auditor and a kid fresh from school just to name a few.

The Results

After 14 days of trading education he set them off to trade and the result was:

They made $100 million for him in just 4 years and went on to make a lot more and become some of the most famous traders of all time.

The Education

So what did Dennis teach them? He taught them a very simple forex trading method which was basically a long term breakout strategy combined with rigorous money management rules to preserve equity.

Dennis knew however that a trading system is not enough to succeed its having the discipline to follow it through long periods that is. He made sure the traders he taught knew how and why the system worked and even when it lost he taught them to stick with it and not deviate from the rules.

Rules are rules and must be followed with discipline – if you don’t have the discipline

This took him just 14 days and the rest is history.

What You CAN Learn

There are several lessons that you can learn and the salient ones are outlines below.

1. Everything about forex trading can be learned

If you have the willingness to apply yourself. OK you may not become as successful as this group – but there is a big difference between something being impossible and something being achievable.

2. Simple systems work best!

Today many people think that the more complicated a system is the more likely it is to be successful – but this is simply not true. Simple systems have always worked best and always will, because they are more robust with fewer elements to break.

He also taught rigid money management and made the first priority the protection of capital. If you lose what you have you can’t trade anymore.

It’s a bit like the old obvious gambling saying – to win you need to bet – but you can’t bet, if you don’t have any chips! Obvious but true, so you play great defence first and the profits will come, when the right opportunities present themselves.

3. Discipline is the key

You will here it time and time again how discipline is the key to forex trading success and it is – if you don’t have the discipline to follow your method you have no method.

Discipline comes from confidence in what you are doing, this is why he taught the turtles how and why the system worked and didn’t tell them to follow it blindly.

Trading success comes from within and this means acquiring confidence and discipline.

So if you want to learn forex trading correctly, learn from the turtles:

The potential is huge, you only need a simple system, good money management and most importantly – the confidence and the discipline to apply what you have learned.

The reason most traders never succeed is they never learn the importance of the latter and want to follow others – but you don’t get these traits following others, they come from within.



By: Kelly Price

About the Author: