Most of FXCM’s retail clients lost money in 2014, according to the company’s disclosures mandated by the CFTC. The percentage of losing accounts climbed from 67 percent in the first and second quarters to 68 percent in the third quarter and 70 percent in the fourth quarter. http://www.bloomberg.com/news/2015-...roker-closes-on-losses-after-swiss-shock.html This is why I don't trade FX, it seems like its just a big bucketshop from the 1900's
what is surprising is that 30% are winning. these odds are better than opening a business. I suspect the number shrinks when you get more data
??? I trade with interactivebrokers, I'd hardly call them a bucket shop. True, there are many bucket shops out there, especially ex USA. I'd put them in the same category as many sportsbooks. But there are a few sportsbooks that have been in business for a hundred years or more, so they are not all scams. Buyer beware. at anyrate, you trade fx, you just don't know it. The value of your dollars fluctuates every day, every minute. You are just always long the USD.
I agree. A winning trader in the first quarter will be a loser in second quarter.. the winning traders are not the same quarter after quarter. they conveniently give results per quarter, % of losing traders over the course of an entire year will probably be closer to 90%..
start with 100k, lose 50k and then over the course of the next year get back to 75k and you are a winning trader
eur/chf, you sell it above the peg, you buy it below, don't use stops, you can't lose. As long as the SNB is buying EUR you can't lose. The only way you could ever lose is if they announced they were no longer going to peg. Now these are small moves, but leverage allows you to turn them into really large moves. If they ever do announce, just close out before the peg is broken. for more info join my "Easy Money" chat room
I have never seen winning traders on forums who demonstrated any consistent ability to trade and win. I reckon the failure rate is closer to 99% if not higher.