Most Read Forex Winning Trade book

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Money Management

The foreign exchange market is a zero sum game (a zero-sum game is a mathematical representation of a situation in which a participant's gain or loss is exactly balanced by the losses or gains of the other participants) in which there are many experienced well-capitalized professional traders (e.g. working for banks) who can devote their attention full time to trading.

An inexperienced retail trader will have a significant information disadvantage compared to these traders.

Retail traders are - almost by definition - undercapitalized. Thus they are subject to the problem of gambler's ruin.

In a "Fair Game" (one with no information advantages) between two players that continues until one trader goes bankrupt, the player with the lower amount of capital has a higher probability of going bankrupt first.

Since the retail speculator is effectively playing against the market as a whole - which has nearly infinite capital - he will almost certainly go bankrupt.

The retail trader always pays the bid/ask spread which makes his odds of winning less than those of a fair game. Additional costs may include margin interest, or if a spot position is kept open for more than one day the trade may be "resettled" each day, each time costing the full bid/ask spread.

Maksudnya jangan tamak, sabar, tenang dan uruskan seperti berniaga..jangan kejar kerugian.

Fibonacci in Forex Trading