Forex Trading System – Do You Need to Predict the Future?

It's true that no one can always accurately predict the future in currency market. If someone could do it he'd quickly became the owner of all the money in world. However you don’t need to predict the future to successfully trade in the market. For example the most successful investors like Warren Buffet don't predict the market. What they interested is to increase their investments in the companies that give them highest return. They're not interested in crystal ball of market prediction.

Market predicts and defines itself. We as traders don't need to predict its movement. All we need to do is to synchronize our actions with the market movements. We need a trading method to do that. For example we need a method that allows us to define the current trend. Such a method should harmonize us with the market. The whole idea of predicting the market is closely related to the idea of having control over the market. It’s a typical utopian idea to predict to be able to control. This approach is fatal for trader’s psychology. Such trader will blame the market because it moved into a wrong direction then he's predicted. It’s the source of losses for most trades.

Most traders think that the main reason to succeed in trading is the ability to predict the market. They'll suffer because they think that they know better what market should do. I think that a good trading strategy doesn't have to predict and control anything in market. That means it should exclude emotions of…

Source by Albert Schmidt

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