On the one hand, there are myths in forex is not by chance, there are reasons why you can understand. On the other hand, many myths were born the wrong interpretation of some words or thoughts. Now we shall understand!
9 myths in forex.
1. The more trade, the more you earn.
Absolutely incorrect statement for trading, although other work is often correct. In trading, you can sit all day long at the screen, hard scalp, but eventually merge. It can be the other way around, see charts at the end of the day and make a rare deal, but still be in the black. It solves the efficiency and adequacy of adopted decisions (buying, selling, closing), rather than the time spent on trade.
In addition, the more transactions you make, the more you lose on costs (spread, commission rate swaps). This is beneficial to the broker, but not you. Often seen in terms of different competitions or shares held by the DC, the terms of the minimum traded lot volume. Such motivation for active traders trading companies guarantee a profit!
It is important to remember that it concerns only the trading process, and does not apply to trading education, here everything is, as always, so spend the evening of books - useful!
2. Take-profit should be 2 times the stop loss. This myth came from the well-known traders of books, most of which were trading with the trend. I partially agree with this statement at a trend trade. But do not blindly trust him.
Myths about Forex
It is better to start from its own CU, for example, if it is effective at a take-profit is 5 times greater than the stop-loss, why not use it?
For strategies of against it is often the other way around. If your system's main advantage is the number of trades with equal feet and profits, then great! Do not make hasty changes in it. Test and select the most effective option.
3. Forex trading is easy money. Of course, it is a myth! And those who have already tried to trade, will agree with me. Beginners expect to earn 30% per month, such expectations quickly break on reality.
Trading - quite a difficult job, especially at yourself. It's really hard! Do not expect to earn in the first month on the yacht, and for the second on the house. Success comes to the most patient, it would be great if you look in a couple of years on the market.
4. If orders are performing poorly during the news, the broker is dishonest. Another forex myth. Slippage during important data release is inevitable! This is true not only for forex. As previously said, he decided to trade on the MICEX, where exactly the same situation as in futures that promotions.
Large slip arise from the strong preponderance of buyers over sellers or vice versa. This is clearly seen in the glass applications, where everyone wants to buy or sell, and get to the other side of the transaction at current prices, no one wants.
Myths Forex
5. It is necessary to learn how to trade on the demo, and then move to Real Madrid. No, no, no, and again no! In the demo you can see the terminal, to understand how things work. But it is better to learn how to trade on a real account. Chips do not have emotions, the most important obstacle for traders. Only trading on a real account, you can feel the taste of real trading!
6. Find a profitable counselor and forget about forex. Yeah, as I see! Even if you find a profitable Expert Advisor, it is necessary to understand it, to understand why he earns, and whether there unprofitable algorithms.
Therefore, I advise you to focus your attention not on the search for the miracle of the robot, and to their own development. Know your MM, learn different types of analysis, to gain knowledge that will stay with you forever! In this case, you'll be able to make the adviser who will make money.
7. The more complicated my system, the more indicators, the luchshe.Ocherednoy myth in the Forex market! The effectiveness of the system does not depend on its complexity. In practice, on the contrary, the simpler and more intuitive algorithm, the better it works. An article in the help: "How to create an automated trading system?".
When testing is very complex strategy, the risk of its fitting to the result, and at the same time reduces the number of transactions in the history, and the smaller transactions, the less confidence in this test.
8. Successful traders also sometimes discarded. I see such statements periodically on the Internet, of course, by themselves, they have nothing. In my opinion, this myth invented martingeylschikami to somehow justify their own losses.
Forex Myths and Reality
Any successful trader is, first of all, think about the risks, and if there is a risk of total loss of deposit, then he will try to avoid it. Moreover, most of them do not exceed 1-2% risk of capital.
9. Successful traders have some secret. The same nonsense! Invented by beginners who after a couple months of practice can not understand how consistently earn ?!
There are no secrets, just do not make serious mistakes, fix unresolved problems and strive for a result that is sure to come to the most stubborn!
These are the myths walk in the forex community may not describe all. Of course, blindly trust them (and generally rely on any stereotypes) it is not necessary. I advise you to follow his own opinion and think independently. This approach will lead you to success!
That's all, you successful trading! Thank you for attention!
