Forex trading is not easy way to making profit, trend market very fierce and no mercy, any trader can losing money in trading activity, often hear if more than 90% trader get fail and might this is true although not become real statistic
90% traders lose. I heard about it before, but I think as many traders here, have believe in forex. Hope that can be the rest 10%. For now, I won and I lost, I still cant make gradually profit like 5-10% per month, but I also didnt lose so much. So I still have a faith like: I'm improving everyday. I talk to myself, it takes time to master forex
Not everyone is discretionary, I've yet to have a "fuck it" moment when trading. Follow the plan whether it works out or not. Nor am I trading futures or holding overnight. The dollar values don't matter at all to me, only percentages. I can't make any comment on "5k" because is that on a 50k account or a 500k account? Stops are a necessity for certain people and will ruin others. Speaking about universal rules in trading is useless.
However this is universal : Victorious warriors win first and then go to war, while defeated warriors go to war first and then seek to win. If you know the enemy and know yourself, you need not fear the result of a hundred battles. If you know yourself but not the enemy, for every victory gained you will also suffer a defeat. If you know neither the enemy nor yourself, you will succumb in every battle. - Sun Tzu
FX, is a mug's game! Highly leveraged account, is one quick way to part a fool with his money, very quickly. J_S
Trade GBPXXX, avoid trading EURXXX unless you are a bank and have to take speculative positions. British are better friends, Germans are a bit unpredictable. Avoid setting up "stops" at X.99 or round number (X.00) when a market is in bullish sentiment, that's where market makers are waiting. Also set up "stops" at the bottom of lowest low of the session or even a little bit further down. Vice versa in bearish markets. Then you'll be safe in most of the time. That's called buy low and sell high. You have to incorporate the risk management in your plan/strategy otherwise it's not a completed one.
I have had loads of "fuk it" moments, and not just in trading The point about the $5k is this - providing you do not sell short at a major low, or buy at a major high, then the odds of the ES going 100 points against you are slim - possible of course, and can happen, but low odds. So, if for some reason, you do get caught, it must not bother you losing the $5k, and you must continue to trade, based on the charts, not on your wallet! Trading is 99.999% mental, and if you let yourself get sucked into the excitement of trading, odds are you will get caught out many times, and keep on fukin up till you blow all your hard earned money, and possibly ruin your life for yourself and your family - we all have heard the stories, and know of someone who was found dangling from the end of a rope! Sit back and use your head, fuk everyone else, as most people are fools, and will do nothing but cost you money by listening to the silly and idiotic things that they natter on about! J_S