I frequently get asked why a vast majority of
trading beginners very often tend to fail. The answer isn't a simple one. However it revolves around a few major points.
Forex traders don't become millionaires overnight. It's strict business and has to be deal with in this way. Unfortunately many newbies enter the market having the wrong way of thinking. They see it as a chance to make easy money. Learn the hard way things aren't as ideal as cunning marketers make them seem. Below are the main reasons why a great major fails to generate profits.
Lack of Forex Trading Education
As with any business, to be profitable you need to know your market inside out. Get a free or even better paid training course from a reliable source. Study it extensively. After familiarizing yourself with the currency exchange market, practice daily on demo accounts to further improve your skills prior to begin trading with small amounts. Most often beginners fail as they don't bother to dedicate the necessary time and effort required.
Unfortunately most new traders have unrealistic expectations with regards to the necessary time, effort and capital needed to be a successful trader. This false impression is inspired by
marketers, promising automated software –. Robots and so-called
experts. To get your money they usually boast that generating huge profits with their product or service is just a few clicks away.