why most traders lose money ?

Andromathis

Trader
Apr 15, 2020
25
1
9
35
They fail, because most often their trading decisions are not based on reliable research or proven trading methods.
 

Grace wilson

Trader
Feb 28, 2019
6
0
12
26
why most traders lose money ?


Some one please give answer of this important question.


It is quite possible for traders to lose money when they are acting upon emotion and they have a lack of patience.
Timing is very important in trading and sometimes you have to wait a long time until you get a profit out of your trade. People often can’t control their emotions and if they start losing money at the very beginning they are more likely to close a trade with a small loss than to wait for the right opportunity to earn profits.
One should learn to be more patient. Don’t panic if you start loosing money straight away and always have a budget that you are ready to lose. Nothing good comes over night.
 

galaxy

Banned
May 25, 2020
27
7
14
41
  • The ability of unable to take control of the emotions
  • The lack of knowledge or skill
  • Ignoring the potential of demo trading
  • Poor level of patient
  • Unable to overcome the greed
 

Brayden

Newbie
May 15, 2020
23
4
4
38
  • The ability of unable to take control of the emotions
  • The lack of knowledge or skill
  • Ignoring the potential of demo trading
  • Poor level of patient
  • Unable to overcome the greed
Yes those are major reasons. Lack of knowledge is the one of the most dangerous ones for me.
 

maureen lewis

Newbie
May 15, 2020
4
0
2
26
When you are not having proper knowledge of forex trading, Impatient, lack of strategies and dicipline. You have not done analysis of the market, You tend to loose money.
 

Torinnarat

Newbie
Jul 2, 2020
17
1
4
29
I would say lack of experience, trading requires a lot of experience to even become a professional in it.

I started trading using demo for a long time, then read several topics on trading strategies before live trading.
that’s all right, but many people simply think that having started doing this without any preparation, they will immediately start earning, oh, these ambitions
 

Uaredaty

Trader
Jan 19, 2019
64
3
24
29
There might be a lot of reasons why traders lose money. Sometimes it might be just wrong judgement or false signal from market. On majority of cases it would be luck of experience
 

Finarm

Trader
Sep 3, 2020
3
1
6
finarm.com
Well, there are a lot of reasons for that. Consider a situation in which everyone could become a surgeon in one day. How high would be the risk of failing the surgery? Similarly just because you are allowed to trade, doesn't mean that you are going to be successful. "Most" traders are not professional but those who think that they can earn some easy money (which is not even true) and the rest are the experienced ones who invest a lot of time and effort into learning.
 
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Sheldon56

Banned
Apr 18, 2020
41
4
19
32
There might be a lot of reasons why traders lose money. Sometimes it might be just wrong judgement or false signal from market. On majority of cases it would be luck of experience
True! Lack of experience and lack of proper knowledge as well.
 

lenon

Banned
Sep 8, 2015
111
1
79
I generally agree with everything noted in this thread. But, lets look at topic from positive side. If you use your lose deal as your best teacher, than you will probably end up in a row of winning deals after some time. Right?
 

Trader Tom

Trader
Aug 6, 2018
5
0
22
KIS is the secret to success in trading ; Knowledge, Intuition, Skill. Knowledge can be gained both by reading & by doing a lot of trades. When u do plenty of trades, not only knowledge increases, but intuition & skill too will improve. What people normally do is , they open a demo or real account , & risk , lets say, 10% per trade. , blast the account to zero, get frustrated & opens another account & blasts that too or even quit trading. On the other hand, if that person had risked only 1% per trade, he would have given himself oppurtunity to trade atleast a 100 trades in that account, thus he would have improved his knowledge, intuition & skill from those huge number of trades, instead of getting frustrated & leaving trading.
 

Dora_WalletInvestor

Active Trader
Aug 17, 2020
210
27
44
walletinvestor.com
Well, there are a lot of reasons for that. Consider a situation in which everyone could become a surgeon in one day. How high would be the risk of failing the surgery? Similarly just because you are allowed to trade, doesn't mean that you are going to be successful. "Most" traders are not professional but those who think that they can earn some easy money (which is not even true) and the rest are the experienced ones who invest a lot of time and effort into learning.
I love this analogy. You're right, it's no wonder so many inexperienced people come to the market - after all, a little over 20 years ago forex trading wasn't even available to the general public.