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Mistakes that Forex traders are likely to make.


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  • 2 weeks later...

One majour mistake one might do is to trade against the trend. In forex it is very dangerous to trade against trend . Never trade against the trend unless there is a positive indication that trend might change.

indeed all traders would be loss when trading against the trend direction. better to the direction of the trend, because if we are able to make friends with the trend. then the profits will continue to flow

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  • 2 weeks later...

@winning11 yes there is not so much opportunity to enter the trade in a day and we need to grab this and abot calm you saying the most important thing in forex because all time we need it otherwise there is great chance to loss here and also need patience . if all we have then have more chance to become success.

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  • 2 weeks later...

@Nikhil

I am a little bit disagree with you. Actuall, there are many opportunity in trading to get some profits. All condition could be profitable if you

knew how to analyze the market well. Many people think if the chances to get profits in forex is only in the evening, or in the night, etc but

they didn't realize if all conditions could be profitable or not that will depend on our decision to make.

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@Nikhil

I am a little bit disagree with you. Actuall, there are many opportunity in trading to get some profits. All condition could be profitable if you

knew how to analyze the market well. Many people think if the chances to get profits in forex is only in the evening, or in the night, etc but

they didn't realize if all conditions could be profitable or not that will depend on our decision to make.

 

Theoretically speaking, every moment is chance to trade. Ideally if one can perdict correctly all the movements of price, he will profit continuously and greatly. The opportunities are always there. The only problem is to pinpoint them. Such ability is what differs a expert from a newbie.

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  • 3 weeks later...

@winning

Yes, that was right.Theoricitally, all conditions could be profitable for us if we knew how to trade well in that condition. Good decision to open

or close position will make differences on trading. But many traders think that good condition is only happening in certain time only, they didn't

realize if good analysis will be more determining to find out good chances in any condition in the market.

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one of the common mistakes traders fall in is not calculating the stop loss before entering the trade, i.e many traders do not put a strategy of what will happen if price reversed its direction and moved against our predicted way, they hope they will win only, while they should predicts loss before profit to be able to deal with it if it happened.

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Many novice traders just open position without put some stop loss so when market goes wrong way they still wait and wait until they lose all money. It is better we lose some than lose all. If we lose 10% of our principal we still have 90% to gain it back. So stop loss is the best option to prevent traders from MC.

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Mistake i always do is not following my rule to trade and trading strategy. I always want to open a position to make a profit, then sometimes the price doesn't meet my full criteria to open position, I will take it because I thought that why I can make a trade in this day. I like to open position everyday because I want to raise my account and it cause me to impatience in my trading then not follow my rule or trading strategy in opening a position.

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  • 1 month later...

Not knowing when to buy and when to sell is the worse mistake a trader can do. Since forex trading is not gambling. You must do lots of research. You must first try to find the best price to buy and to sell before even try to make a single trade. In this way you can earn lots of money if you know when to buy before buying and when to sell before selling.

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Not knowing when to buy and when to sell is the worse mistake a trader can do. Since forex trading is not gambling. You must do lots of research. You must first try to find the best price to buy and to sell before even try to make a single trade. In this way you can earn lots of money if you know when to buy before buying and when to sell before selling.

 

Well, traders who don't know when to enter into the market shouyld probably learn trading in Forex first rather then start trading right away with real money. Technical and fundamental study becomes important whe a trader wants to trade in Forex. Technical analysis can be used to enter markets at best positions.

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  • 1 month later...

 

Well, traders who don't know when to enter into the market shouyld probably learn trading in Forex first rather then start trading right away with real money. Technical and fundamental study becomes important whe a trader wants to trade in Forex. Technical analysis can be used to enter markets at best positions.

I do agree. If you are on day trading and even in weekly trading 90% of the time its good to use technical analysis but if you are long trader its more on fundamental analysis. But the one that I don't understand are people who say they use fundamental analysis for day trading. I mean chance are the result of fundamental from yesterday, today and tomorrow are almost the same. Unlike technical analysis that chance every 15 minutes or what ever interval that you use.

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From my trading time and experience, most traders do not have (for sorry) a plan B, or a plan regarding what to do if their entered trade failed, so they get troubled when this happen, and may increase their entry with huge lots without good money management and detection of the probable risk, this leads them to loss for sure.

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  • 2 weeks later...

From my trading time and experience, most traders do not have (for sorry) a plan B, or a plan regarding what to do if their entered trade failed, so they get troubled when this happen, and may increase their entry with huge lots without good money management and detection of the probable risk, this leads them to loss for sure.

From your trading time and experience? Do does it mean that the person's you mentioned above about most traders are actually you? Me. I never invested in forex without a plan. But sad to say I still loss money in first few months of my trading. I did every thing right except timing.

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  • 3 weeks later...
  • 3 weeks later...

The great mistake committed by the novice trader is to enter the world of Forex without learning and without the application at the expense of demo

From mistake we learn. Yes they loss money, yes they don't do their homework. But once you loss money in forex trading its either you give up or take it as a challenge. this is where the wannabe and the serious trader evolve. If you give up and blame every thing else your just a wannabe know every thing learn nothing type of person. But if you are serious you sit down study and trade to earn.

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  • 2 weeks later...
  • 2 months later...

A trader is like to male a mistake in picking the right broker for forex trading. It is important to note that if a trader does not carefully take time in looking at a number of factors like regulation, trading conditions, fund transfers and a host of other factors, the trader might pick a broker that is not appropriate.

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