Why is it said that 9 out of 10 people lose money trading at home in the Foreign Exchange market.?

Question

I am interested in trading from home. Can anyone recommend a good training package as I have no experience yet

Answer 1

Forex is a fairly specialist field and the volatility of the marker place makes it hard to earn money, to be fair though it's mainly institutions that play this game. As an individual most of your gains would be wiped out by transaction fees.

Answer 2

Trading in foreign exchanges is difficult to begin with. Day trading is even more difficult. That 90% figure is most likely derived from the fact that foreign exchange trading is a game of pennies, and most people trading from home probably aren't working with enough money in the markets to offset the transaction costs.

www.fxcmtr.com has an education section where I believe you can play with a $50,000 demo account to learn the ropes a little. That might be a good place to start, but I must caution that just like the stock market and commodities, you really need money (a good deal of extra cash) to make money.

Answer 3

You should try with Penny Stocks Trading (you can find more info here: http://pennystocks.toptips.org )

Penny stocks, also known as cent stocks in some countries, are common shares of small public companies that trade at low prices per share.
I've been subscribing to this PennyStock web site for about a year now and have loved the objective advice they give. He really does look for quality stocks and I've made some pretty nice profits on a lot of his suggestions. Being still fairly new to investing I have been dabbling a lot in penny stocks to try and grow my account. I may not have a big account, but it's a lot bigger than it was a year ago. On just one of Nathan's picks this year I managed to make my investment back ten-fold! Be careful! Penny stocks are notoriously risky but if you follow the right method the risk is almost 0. I suggest to invest only little money first and then reinvest the profits. This is the site I'm using: http://pennystocks.toptips.org
Cheers ;)

Answer 4

If you make informed decisions and approach your penny stock investments with the same thoroughness that you’d use in your other investments, you too can unlock a whole lot of profit potential. Learn here https://tr.im/dEq7d

It’s absolutely true that penny stock investors can make very quick gains. Synutra International, Inc. (NASDAQ: SYUT) is a great example of a penny stock. This dairy-based, nutritional-products company has jumped from a little Bulletin Board operation to a billion dollar corporation. The company finally graduated from Over-the-Counter status to the NASDAQ Stock Market bringing with it 113% gains in less than two months.

This happens all the time and it’s how some of the best investors in the world became the richest investors in the world. Buying some shares for pennies on the dollar and selling at $10 or $20 is possibly the fastest way from being a hobby investor to a super investor

Answer 5

There are a few reasons. Most of the brokers that you have to go to charge high transaction fees. If you're doing any short of semi-high frequency trading, then those fees will add up and most likely eat up all of your profits. It's a zero sum game with your broker for a lot of those bucket shops who have to take the opposite side of your trade. If you make money, he loses money and vice versa, so it's in their best interests for you to lose money and that is what happens on the whole.

They let you gave massive margin so that you lose money even faster. If you're really interested, set up a demo account with one of the main brokers and play around with different "strategies" so you get a feel for the market and can make a better decision based on your personal skills.

Answer 6

Because, unless you know what you are doing you can lose it all in a day. You have to really research what you are doing and be careful using stop losses in case a currency does a 180. Don't invest in something you don't understand. I tried it out with $250 and lost all but 22 cents in the course of a few months. Now I'm smarter and it is just a game as I try to rebuild that 22 cents into a dollar.

Answer 7

the best trading software http://tradingsolution.info
i have attended a lot of seminars, read counless books on forex trading and it all cost me thousands of dollars. the worst thing was i blew up my first account. after that i opened another account and the same thing happened again. i started to wonder why i couldn,t make any money in forex trading. at first i thought i knew everything about trading. finally i found that the main problem i have was i did not have the right mental in trading. as we know that psychology has great impact on our trading result. apart from psychology issue, there is another problem that we have to address. they are money management, market analysis, and entry/exit rules. to me money management is important in trading. i opened another account and start to trade profitably after i learnt from my past mistake. i don't trade emotionally anymore.
if you are serious about trading you need to address your weakness and try to fix it. no forex guru can make you Professional trader unless you want to learn from your mistake.

Answer 8

its been said,
to learn to trade, start doing it,

WITH NO MONEY invested.
track your stock picks for a year. learn what happens, how it happens, why it happens, track your changes, profits, losses, splits, etc...

DIVERSIFY.
track at least 2 companies of 5 DIFFERENT types of stock

2 oil or gas
2 food
2 petrochem
2 technology
2 auto
2 service related
2 shopping center types

and so on...
track them for a year, with what you would have invested...
see what happens. then you will have a GREAT understanding of how it all works and whether you still think you can make money at it.

Answer 9

A common misconception is that you will have to be a financial and business expert in order to successfully trade binary options. However, this is not true at all. Learn here https://tr.im/VmMEE

Perhaps it’s true when it comes to traditional stocks trading but definitely not true in the case of binaries. You don’t have to be an expert to predict the movement of certain assets.