Long time I never browse here.
Don't trade Forex. Switch to crypto, it's much easier.
I give u one example why small guys can't make it.
Assume u can grow 5% monthly in account, u expect like RM 10k per month, so you'll need 200k RM or 50k USD account.
Small guys are way too undercapitalized.
Trying to use 500usd to earn 5000usd. Very fast account burn in a few months time.
Second big problem is like this, Forex is super duper ultra manipulative. Besides TA crap, I have access to some data where I get to see other things that you guys don't have. What we see as candles are only price time relationship. Normal traders don't get to see the value of transaction behind it. It's like you fish with normal fishing rods. Bank traders fish with sonar equipment.........
My accuracy is to extent that when it's ranging, I can pinpoint 2 points that when price touches there it will U turn or make big reversals.
Even with that it's hard to be accurate.
Why is it like that ?
Banks wanted to fill their big volume orders, maybe at 2 certain price point when ranging. Within 300-400pips price point only 2 levels are of utmost importance. The rest is just rubbish, noises.
If I take a piece of boxed math paper, I mark down a few important levels, then I could have many many combinations. Not only those bounce is here therefore it's a good support, but it may break this support to a lower one, then next week it goes back up again. It's like I want to fill 1.41 price. The price whacks above this week(+120pips) next week below(-100pips), next week above then continue with real move.
It's whacking like mad to getting filled. Sometimes it's supposed to go up, but haven't fill enough, so bankers play with it. If you can fill lower and earn more will U do it ?? Definitely will.
So bankers don't even know how low they can go.
- Some of the levels broken today, then bankers push it up for another 5 days, evidently with GU. Later drop it like a hammer. It's not TA is not working, it's price is being manipulated.
- Sometimes they could slowly push up a currency to fit in to the NFP news. Currencies are managed to move within 1.2-2% daily. This Friday NFP they already know the results. So they sometimes push it slowly from Tuesday to Thursday only to drop it on Friday to prevent things triggering other things.
And I can tell u this truth because I saw bank Traders said this. Last time before 2008, euro/pounds/yen or mainly USD pair were moving like 200-300pips daily. During that time it's so much easier to daytrade. Either it break during London, if not real move comes during US open. Just follow engulfing candle. If wrong just martingale go the other side. Since the daily movement is 200pip, losing 30pip is nothing cus risk to reward is great
Now the daily pip range becomes 60-70pip range.
Minus the volatile stop hunting candles, u are left with 50pips. Minus confirmation candle, left 35pips.
Minus spread 2pips, minus slippage......u get my point. The daily volatility has reduced tremendously that it's impossible to day trade, plus spreads dint go smaller. Risk to reward ratio is pretty much shitty
Another factor that TA traders don't know is that central banks has been at war with each other ever since 2009. Before that they already 'agreed' behind to let their own currency devalue or evaluate. Like since Bush went up, he devaluate USD, so euro appreciate like mad for 6years. Just long euro for 6years can retire d. Now they like angry neighbors.
This month devaluate, next month appreciate. Later Brexit drama, later this and that, and as China becomes stronger, the trade volume on USD becomes lesser. USD volume drop becomes daily movement becomes lesser.
Day trade = gamble.
Don't waste your time on the most manipulative unfair game there is. Why bother try to prove yourself at a so high difficulty level game.
Even buying dips on stock market is easier. (Some counters dip a few percent every few days)
haha...bro u wrote so many..
when i first learn Forex at China...my mentor told me TA skills is only 15%~rest is capital,Risk reward and risk management~
for the PAST 2 yrs i lost ard 5-6K USD only start realizing i need to learn from a good mentor,im just lucky i found it.(lol..ofcoz i paid for the fees)
merely just trade on Technical Analysis is fine, but have to very careful with big news like FOMC,ECB...i hardly trade on news,baically i trade after news unless i have a floating order.
Just wanted to say forex you can make good money~if you got a good plan n system.
I only happen to spot 1-3 good chance per instrument a week. i only trade E/U 80% and G/U 20%~others i dont trade this 2 pair work out the best for me.
i knw institution r manipulating the price most time, but they cant forever do it,becoz after ive learn the Supply n Demand course, you know where they can manipulate where they hardly can.
Ive been told all these behind are just the cause of Supply/Demand logic...it work well most time.
I agree with you forex can b manipulate and is safer to trade, ~but share also b manipulate
~the only thing i like forex is the liquidity.
Ya forex need capital to trade if you want make 10K~ but 10K RM is enough (2-3k USD cap) ofcoz the more the better.
but ive seen my fren trade with 50USD to 2K USD in 2 months.
After done analysis~to me is just how much you r willing to risk for that trade if you dare to put on the risk you will be rewarded.