Why do Forex Traders fail? I have a theory.
At the time I decided to start forex trading (2 years ago) the Forex Boom was just starting. I really did think I had stumbled on that legendary pot of gold, and that I would soon be on easy street.
Here was a multi-trillion dollar online business where a smart guy like me couldn't fail to make lots of easy money.
I'd read that over 90% of forex traders fail, but hey — that wouldn't happen to me — I've got a college degree! If I learned the best forex trading techniques and studiously avoided the pitfalls, I'd be a top forex trader in no time!
So I invested in the best forex training course I could find, almost entirely dvd-based training, and it cost me more than $4000. It came on 10 dvds, with 14 hours of top quality forex education, and several pieces of software, including free forex signals software which was already set up with passwords etc... and ready to go. I even got a forex spread-betting account. Mmm... better still, now I can trade forex tax-free!
I also received access to the author's web site and could see his daily forex trades. Every evening I could review his trades and listen to his commentary, and see how many pips he had made or lost. Most days he made about 20 — 30 forex pips — mostly in the GBP/Dollar market.
This was going to be be easy!
The course covered all aspects of trading including preparation, record keeping, paper trading, even the phsychology of forex trading. I watched the entire dvd set over a couple of days. Then I re-watched the dvds covering actual FX trades and particular forex techniques — he was a technical trader.
I coudn't wait to get started. So I opened my spread betting account (another $5,000 but what the hell....). Oh, and I sent for the latest Mercedes and Ferrari literature — it wouldn't be long now....
That was nearly 2 years ago.
So do I have the Mercedes or the Ferrari? Nope! Have I made my fortune? Not yet!
In fact I've lost money — lots of money!
I haven't lost my confidence in the forex market as a way to make money online, I've seen and met too many traders who make good money trading the forex markets. I know it's possible, I've seen it done.
So it must be my system! So I invested even more money.
I bought the very best online forex trading systems — but only after I had carefully checked their testimonials and ensured that people were making serious money with them. I also bought books — lots of books. Books on forex training, books on forex trading, books to compare forex trading systems. I also bought downloadable forex courses and forex guides, I studied day trading systems versus long term trading systems — I was determined to succeed and make money in forex trading.
So am I making money now? Not really!
But at last I know where the problem is and why I have failed. It hurts to admit it, but...
The problem is ME.
Yep- me! I'm the problem.
I now know that my approach, my style, my methods, were all letting me down. Even when using a proven winning trading system, I would lose money.
And for a long (and very costly) time, I hadn't even realized it. It wasn't because I didn't invest enough money either.
I now accept that I can purchase a winning forex trading system online for very little, and that a top forex course will cost very little too. Indeed, there are a whole range of very affordable forex resources and training out there.
I can quickly and easily be ALMOST fully equipped to make money on the forex markets. Almost?
So what's the missing link? What's the difference between the winners and the losers? Who else should I consult to be the complete forex trader?
Well — me... It's me!
I've identified a whole load of personal traits and deficiencies that have prevented my success — (and very uncomfortable reading they make too). Words like self-discipline, concentration, resolution, dedication and honesty come to mind.
I've also learned that MOST available forex tutorials fail to cover this topic adequately — probably because their writers are successful forex traders who already possess the vital ingredient that the rest of us lack. They just don't realize it's a problem.
What's the problem?
In a sentence — "Most forex traders are incapable of sticking to the systems they have learned". That's why most forex traders fail.
So now I have written "The Missing Link, the other successful forex trading strategy". It's nothing to do with entry or exit points, or technical analysis, or news trading. It's everything to do with attitude and mind-set- and provides a totally different set of trading rules without which even the most successful forex trading strategy can fail.
by Christopher Temple