Do you often have the feeling that whenever you enter into a trade, the price immediately turns against you? Even though all the fancy indicators show that it should move in your favor. How often does that happen?
The common response is around 70% of the time, that is why they are losing money and trading is so difficult.
Well, I would like to shake your beliefs! If it indeed happens 70% of the time to you, I would like to get to know you. Because I just have to do the opposite of whatever you are doing and I’ll be 70% of the time right!
Actually, if that is the case, would you agree that it is also quite difficult to lose in trading. There is a complete random chance of being 50% right. So how come there is a statistic that 95% of retail traders lose money?
The main missing ingredient is psychology, that it unique from individual to individual. Students can attend the same trading course, under the same mentor, learning the same strategies, looking at the same charts, applying the same indicators but achieve vastly different results. (Apart from the reason that some may be sleeping in class.) Read more…