June 29th, 2010
Forex Classroom
Trading can be rollercoaster, but it's important to have the nerve to sit back and enjoy the ride.
The Freak Out Trader can be both a winning and losing trader, but is always a newbie trader as a Freak Out Trader NEVER makes it to professional status with consistent profits.
The Freak Out Traders emotions are let loose to the extent that when they have wins their excitement drives them to freak out and get so excited they think they are bullet proof. The Freak Out Trader also experiences depression and freaks out on the losses too. What is going on subconsciously is that they don’t realise it yet, but the reason why they are freaking out is because they are not in control. The market is in control. They are usually trading too much money, trading too often and don’t really understand the system they are using. These examples usually come down to inexperience and their attachment to money and certainty we all have when we start trading. As a trader you need to have a detachment to the money and learn to trade the probability rather than the expected certainty that humans have when we enter the trading arena.
If a new trader experiences a few winning trades to begin with they are lulled into a false sense of security. They begin to think that “this is too easy” and begin to trade larger sums or over trade and take multiple positions. » Continue Reading »
June 8th, 2010
Forex Classroom
There is a misconception and perhaps an easily overlooked fact about Forex trading and how profits are really calculated.
Forex is an unique market where as the price moves from one pip to another pip you as the trader can chose what each point is going to be worth before you enter the trade. For example if we are buying shares on the stock market each share will have a specific value, for example $1.20. You can’t alter it.
When you invest in Forex, the trading platform will ask what you want each pip (or point) to be worth. In other words if the EURUSD is trading at 1.1976 and it moves to 1.1977 that is one pip. You can chose the smallest volume to be 0.01 which is essentially .10c. You could have each point be worth $10,000 if you account could handle it.
That brings me to the point of traders making or losing pips and applying the real return on investment.
Here is an example trader John.
John takes 10 trades in a month and makes a +400 pip result with a 60% success rate of hitting his profit target. You would assume that John would be pleased with this result. He can hold his head high as a winner, he made +400 pips and a nice profit. Or did he? » Continue Reading »
April 28th, 2010
Forex Classroom
Today I want to share some vital information that is going to make a huge difference to your trading
(if you do it), and it is the truth about what it takes to succeed in Forex. And we want you to succeed. So please take 5 minutes to read this important note.
So what is the difference between those who succeed in Forex trading long term and those who don’t?
Here is the cold hard truth…
- They haven’t developed the skills that actually pay you in Forex.
- They may have the good intent, the passion , the commitment and money to put into an account
- But… unless they have the skill they won’t make long term profits.
» Continue Reading »
March 2nd, 2010
Forex Classroom
I have some exciting updates for you that come from some serious players in the Forex market.
Currently I am in London speaking with some UK traders and I will give you a report towards the end of the week on anything I believe to be of tangible value for you.
Until then one of our LTG GoldRock Directors is in Arizona USA attending an advanced 2 day workshop with some of the world’s top investors. He sent me an email overnight with the following comments hot off the speaker floor. The major players are saying this… » Continue Reading »
