Forex Market deceits

How long the casino could hold on in business if the majority of its visitors did not lose, but won? The same is in the forex market. The market should operate so that some participants lost. Otherwise whence to take money, to pay to winners if wins the majority of people? The casino has certain advantages in comparison with the market – it can establish in advance such game rules which will ensure to the owner mathematical advantage.

The market cannot directly supervise how each individual player will play. The majority of traders are the clever formed people. They have almost unlimited sources with the information on how to trade. They have powerful computers with the clever programs, intended to win the market. Why then so the percent of the traders who are in the red is high?

The well-known answer consists in that traders cannot operate adequately the emotions for success achievement. It unconditionally is true. Other less known reason consists in that the market constantly misinforms participants. I do not wish to tell that the market has the will or there is group among insiders, set as an object to manipulate the market. Market reminds the opponent whom all time tries to force to play you badly.

The most general explanation of this phenomenon is the concept of casual self-strengthening. Traders are not always remunerated at all by profit when do everything correctly, in the same way as not every time they are punished by the loss when operate incorrectly. Therefore it is extremely heavy to formulate that is correct, and that is not present. Compare to an electric fencing. Each time when you walk along it and do not touch wires, you feel perfectly. Each time when you touch wires you receive electric blow. Therefore neither for people, nor for animals is not required a lot of time to learn, of how to act with an electric fencing.

Think of that, it would be how much easier to learn to trade, if each time when the trader does not follow correct procedure of decision-making, he would automatically receive the loss. And during time of obtaining a reward in the form of profit each time when made the correct decision. You could learn of how to trade correctly much faster.

As the real opponent, trying to force you to trade incorrectly, the market constantly sends you misinformation. A significant part of this misinformation is that the market constantly changes the behavior so that even the successful trader should be constantly vigilant and ready to change the approaches for profit preservation. So you should really pay attention to the market behavior and the constant market volatility.

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