About Foreign Exchange World
The success in the foreign exchange world comes from internal control; this is what has been realized as the most important lesson while trading. Although self discipline and self control are not hard to develop, but most traders do not realize the importance of these.
What is important to know about foreign exchange world online is that does not create victims but the investors turn themselves into victims. No trader will find success without understanding this important principle.
Let’s now look at some facts about online foreign exchange world:
a) Most successful traders have achieved success by controlling risk, which requires tremendous self control and inculcating discipline.
b) Most successful speculators are seen to have success rates of 35 to 50 percent. Why they are so successful? It is not because they predict or forecast the prices well, but because the size of their profitable trades far exceeds the size of their losses. This again requires tremendous internal control.
c) Most successful investors are those who do what everyone else is afraid to do. They wait patiently for the right opportunity.
So, the first step while knowing about world of foreign exchange is that success follows those people who dedicate themselves to developing that self control.
Among several discussions on what is important about foreign exchange world online, three areas typically surface - psychology, money management, and system development. Most traders give importance to the system development and tend to ignore the other two.
But it is very important to note that psychology accounts for about 60 percent of our success, position sizing forms the next most important, accounting for about 30 percent, while the system development is the least important, making for about 10 percent of our success.
It has been long argued about world of foreign exchange that trading is 100 percent psychology. This psychology includes position sizing and system development. After all, we are human beings, not robots.