best forex trading robots reviews

Enclosed in this article you will find some common trading mistakes which you must make a part of your essential Forex education or you will lose and lose quickly.

Let’s start with how many traders lose money and its 95% and that’s a big majority! This leads us to our first point which most trades ignore and try and get rich quick.

1. Forex Trading is Easy

Forex trading is not easy and you wouldn’t expect it to be with the rewards on offer. If you want to win, you need to learn skills and this leads me to the next fact about Forex trading and its:

2. Forex Robots and Expert Advisors will Make You Rich

All the cheap, get rich quick Forex software you see sold online will lose you money. These systems offer you financial freedom for paying out a couple of hundred of dollars or less but if they worked 95% of traders wouldn’t lose. They are sold so cheaply because they simply don’t work.

3. Effort or Intelligence Leads to Success

This is a common mistake to make, because you rewarded for these traits in society but you don’t get rewarded for them in Forex trading. You are only rewarded for the accuracy of your trading signal, it can take you 5 hours or 5 minutes it doesn’t matter how long it takes, profits are all that count. You don’t need to work hard or be smart, just get the right education and mindset and trading should take you just 30 minutes a day or less.

4. Forex Price Movement can be Predicted

No they can’t and if they could there would be no market as we would all know the price ahead of time, markets move on uncertainty not certainty. If try and predict you are hoping or guessing and that won’t make you money, so simply trade the reality of price change and you will have the odds on your side.

5. Not Trading with Discipline

This is something the vast majority of traders do and it leads to a wipeout of equity. If you cannot trade your system with discipline you simply don’t have one.

You are going to lose for long periods, all traders do and you must keep your losses small in these periods and take them cheerfully. If you get frustrated and angry like most traders, you will start to run losses and that ends in disaster you need to stay on course until you hit a home run.

How to Win at Forex Trading

The above are all common mistakes and you need to avoid them and if you do and get a solid Forex education, you could soon be making some great profits, in 30 minutes a day or less.

FOREX day trading is big business and there are plenty of FOREX day trading systems tip sheets and guru’s who will promise you they can make you rich.

The problem is odds are you won’t make money and ask anyone selling to you to show you a real time track record chances is are you won’t get one!

FOREX day trading sounds good in theory but doesn’t work in practice. Here’s why.

Currency movements tend to reflect the underlying economic climate and interest rate outlook of the countries currency and they trade long term. Short term movements within a day are random and are the same as flipping a coin.

Even if you think you can day trade FOREX, consider one of the fundamental laws of trading:

Run your profits and cut your loses

Well in day trading, a short trading session is all you have to make money in before you close your position.

You will never be able to run your profits long enough and make enough money to cover your inevitable losses.

When you add transaction costs to losses and subtract them from profits, FOREX day trading will soon empty your account of money and leave you with losses.

It would seem fairly obvious that FOREX day trading on the whole stacks the odds against you, but investors still buy day trading courses and systems through greed and ignorance.

So why is day trading so popular?

Simply people think it restricts risk, but on the flip side it restricts profit as well – and you need to take risk to make a profit – there is no free lunch.

If you can’t run profits enough to cover your losses you will lose pre and simple.

Day traders think they are restricting risk but really they are creating it and stacking the odds firmly against them.

Many people who sell the concept of FOREX day trading are also linked to brokers, who pay commission to them on each transation and there is no better commission earner than someone trading every day.

Fact is, if you want to make money in FOREX Don’t day trade – Do what the pro’s do, catch the bigger profits from the longer term moves.

Have a day trading system on my computer, says its 91% accurate and will cost me just $99.00!

Wonder if I should buy it?

On second thoughts, Let’s give it the benefit of the doubt and ask for the real time track record.

Wonder if I will get one?

Forex day trading is very popular but is simply one of the best ways to lose money. If you have been considering a forex day trading system then read on and you may change your mind.

So Why Doesn’t Forex day trading work?

The reason is the data is unreliable and volatility is random and support and resistance within a few days is meaningless.

If you think about the above its obvious why:

Millions of traders trade trillions of dollars and to try and predict what this huge mass of opinion will do in such a short time span is impossible.

But I have seen forex trading systems with great track records of gains…

Sure you have but there not real, there done KNOWING the closing prices!

You never see one audited which has traded real dollars over a long period of time, what you normally get is one of these – here is the CFTC disclaimer:

“CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN”.

So put the above on and you can make up anything you want with past data.

Vendors of course do and rely on the greedy na

Below you will find 10 questions if you can answer them all correctly you have had good forex education and could join the elite 5% of traders who make big profits – get any of them wrong and you need to continue your forex education! So let’s look at the questions below.

1. Forex day trading is a good way to make money

The answer is no – your 100% guaranteed to lose as all short term volatility is random you can’t get the odds in your favour and you will lose.

2. Forex markets move to scientific theory

The answer is no of course they don’t. If they did then we would all know the answer in advance and there would be no market. A market price moves by its very nature due to uncertainty.

3. Buying Dips To Moving Averages Is a Great Strategy

Buying dips to a moving average is a great way to lose money – it’s a lagging not a leading indicator and should never be used in isolation

4. Everything about trading is learned anyone can do it

The correct answer is yes. Anyone can learn to trade if they get the right Forex education and learn the correct knowledge and skills to succeed. Of course most traders fail to do this and lose.

5 Simple Forex Trading Systems Work Better Than Complicated Ones

As a general rule the correct answer is yes, as they are more robust in the face of brutal ever changing market conditions. If a system is to complicated it collapses, as there are too many elements to break.

Most of the world’s top trading systems are simple.

6. I Don’t Need To Work Hard To Make a Lot Of Money

The correct answer is yes. You don’t need to work hard, as there is no correlation between the effort you put in and the reward you get out of forex trading.

You only get paid for being right, nothing else and the amount of effort you make does NOT make any difference to your currency trading success.

The trick is to work smart not hard.

7. Buy low sell high is the best way to make money

The correct answer is no. The best way to make money is not to try and buy lows but buy new highs. The fact is the biggest market moves tend to start form new market HIGHS Not market lows.

If you want to catch the big trends, then aim for these breaks at new market highs and trade them.

8. The more news sources I consult the better

The correct answer is no. News sources don’t help you make money, in fact they normally help you lose – as you run with the pack and let your emotions get involved.

News is stories and the people giving them are not traders follow the news and you will lose.

9. I have a system that works I Don’t need any more education

The correct answer is yes. Many traders think they have to keep learning for ever but if you have a system that works you don’t need to spend any more time studying you can simply spend your time applying it and making money.

10. My risk per trade is my expected profit divided by my stop

The answer is obviously no as this is simply an opinion you hold and has no relation to what the odds of success are. Many people say its high return low risk based upon their opinion and that’s not the way to trade forex.

If you answered the above 10 questions correctly, you are on your way to being a winner – if you got any wrong, then its time to keep studying and improving your forex education.

If you can’t answer the question I am going to pose in this article you will probably lose all your money when you trade. The question though is one that very few novice traders consider or think about so here it is:

What is your trading edge?

THIS MEANS:

Why will you win when 95% of traders lose all their money quickly?

What separates you out from the majority of losers and means you are going to succeed?

If the answer is – I have bought a system for a couple of hundred bucks, or I like to trade off the news or on recommendations of others – kiss goodbye to your equity.

The fact is most traders in forex do not get decent Forex education!

They think it’s easy to win and believe the hype they read, or treat it as gambling and the market takes their equity.

A trading edge is the edge you have over the losing majority – for example, if I was to describe my trading edge it would be:

My use of sentiment and momentum indicators, to isolate high probability contrary trades and the ability to load these trades and remain disciplined.

I know I am good at hitting these trades and have a track record of doing it over 15 years. This is not meant to sound arrogant, it’s what makes me a good trader and I know it and you must get one to, if you want to win.

Know Your Edge and Know Yourself

Now your edge might be something different but that’s not the important point – the most important thing is you have an edge you have worked on and you know it gives you a head start on the majority.

An edge is something that comes from within and is a combination of method and the mindset, to make it work with discipline in the markets.

NO FREE LUNCH TODAY

Or any day in the Forex markets – it’s a brutal world where only the strong survive and you can only rely on yourself no one else can help you – you’re all on your own.

If you don’t like the above and like to blame everyone else for your losses – from your system, to your broker, do yourself a favour and don’t trade Forex – it’s not for you.

If you are ready to stand alone apply yourself and get the right knowledge, you can acquire the correct Forex education, get an edge and win.

Forex day trading and scalping is promoted heavily online and the objective is to -keep losses small and earn a regular income. This is the dream the reality is a swift wipe out of equity for the reason that is enclosed.

Ask yourself this simple question:

There are millions of traders all over the world and there all using different Forex trading strategies, all have different aims, skill levels and are influenced by their emotions, so how do you decide what this mass of people are going to do, in a few hours or minutes?

The answer is of course, you can’t! its rubbish to say you can and the facts simply do not support this view. All volatility in these short time frames is totally random, so you can’t use support and resistance levels, can’t get the odds in your favour and sooner or later, you are going to lose all your money.

Ok you maybe saying but I have seen the track records of Forex day trading systems sold by vendors and they show a profit. Sure they do – but check the disclaimer and risk warning and you will see there not based on real time trading, there simply a back test over historical data.

Making money in a back testing scenario is easy – but you don’t get to know the closing prices when you trade for real and this is the real world.

Vendors who back test systems, can show anything and they do, to sell their systems.

If you really want to make money, forget forex scalping or day trading systems and trade longer time frames where, you can get the odds on your side.

Get the right Forex education and learn to Forex trend follow.

Look at any Forex chart and you will see trends that last for weeks, months or years and you should base your Forex strategy around catching them and turning them into profit.

So forget short term trading and get the odds on your side, by catching the big profits from the big moves and you can enjoy Forex trading success.

Forex day trading is popular and there are numerous Forex day trading systems sold on the net – but you need to be aware of one illusion, if you buy a system or back test it yourself. This relates to “curve fitting” – If you don’t know what curve fitting is read on.

If you are going to trade any forex trading system you will normally test it on back data first and this is where you have to be very careful. Many “traders curve” fit – either deliberately or without thinking of the consequences.

The Illusion of Curve Fitting

“Curve fitting” involves tweaking the system to fit the data. A common occurrence is for forex traders to find their system doesn’t work first time around, so they create rules and parameters to make it work.

This was once likened by a trader I knew, to shooting at a barn door with a shotgun and then drawing a bull-eye around every shot AFTERWARDS to make each shot perfect.

Of course, no data sample EXACTLY replicates itself going forward and in real time trading the system collapses. To spot a “curve fitted” forex day trading is easy, look for lots of rules and parameters and unique ones used in certain instances.

The Worst Form of Curve Fitting

Many vendors who sell systems don’t even bother trying to curve fit.

They simply make up a track record and put simulated or hypothetical on the disclaimer!

This is done by lots of vendors, who are simply assuming the buyer will believe the simulated track record WITHOUT questioning it and by putting the disclaimer they can say what they want and as they are back testing and know the closing prices its easy to make a profit.

Clues to these forex day trading systems are marketing copy which says the following or similar – “picking tops in advance”, “earn a regular income”, “make x pips a day” and track records with extraordinary performance with no drawdown – all for a few hundred bucks!

These forex day trading track records should not be trusted and you should ask yourself:

If these systems are so good why are they being sold as the vendor could make so much money why bother me for a few hundred bucks?

Well now you know the answer.

The fact is you should only buy a track record in day trading if its real time and shown over two years and you won’t find one – Why?

Because forex day trading doesn’t work.

Why?

Because all short term volatility is random and you cannot get the odds on your side.

There are millions of forex traders trading trillions of dollars in equity daily and to say you can tell which way a market will go in a few hours is laughable.

If you don’t believe me look at the track records ( you will never find a real one) there all done in simulation and hindsight and anyone can make a profit doing that – problem is we have to trade in the real world and that means not knowing the closing prices!

The Appeal and the Reality

Day trading systems appeal to greedy novice or naive investors as it looks an easy way to make money but of course trading is not so simple – keep in mind 95% of traders lose and in forex day trading you can increase this number to 100%.

The logic is wrong and these systems will lose – the fact you cannot ever find a forex day trading system with a real time track record over the longer term proves the point.

If you want to trust a simulated track record and base your forex trading strategy on it, go ahead – but chances are in one form or another it’s been “curve fitted” and that makes it odds on to lose.

If you want to win at Forex trading you need to get the right Forex education from the start or you will lose. Here we will give some essential facts you need to know to avoid the mistakes of the losing majority…

Let’s start with the fact that 95% of traders lose money and that’s a huge percentage however the good news is anyone can learn to trade successfully.

To win at Forex trading, you need to understand certain facts which relate to both your method and mindset and here they are:

1. You Don’t Get Rich Following Forex Robots

Most of these are sold for a couple of hundred dollars and the vendor tells you that you will make an income for life with no effort. The claims in most instances laughable but people believe the claims and lose their money.

Before you buy a system think about it; an income for life for a couple of hundred dollars, to good to be true? Of course it is! Avoid these systems or lose.

2. You Can Predict Markets with Science

This is just ridiculous because if such a theory did exist, there would be no market, as we would all know the price ahead of time. Predicting is hoping or guessing and your predictions will end up as accurate as your horoscope.

Trade the reality of price change only and leave prediction to the far out crowd and losers.

3. Complex Theories are Better than Simple Ones

The reverse is actually true; as markets move to probabilities not certainties, a simple system will be more robust and have fewer elements to break. Never fall for the complicated mathematical system will beat the market it can’t.

Always remember simple is best!

4. You Wont Face Losses

If you were to believe a lot of so called experts, you would think drawdowns are small and last a day or two – but the fact is even the best traders lose for weeks and drawdown is related to risk.

You need to be prepared for a drawdown of 30 – 50% at some point and expect it to last for weeks not days. Sure you can still win but you must ride these losing periods out and that requires the next trait – discipline.

5. Discipline the key to Forex Success

Discipline is the ability to keep your emotions out of your trading and keep your losses small. Most traders simply cannot do this, as they lack confidence and courage to stick to their plan but it’s the key element you need to succeed.
If you can’t trade your system with discipline you don’t have one.

The Road to Forex Success

Is open to anyone and anyone can learn a method which can make money; if this is combined with the correct mindset to apply the system, currency trading success will follow.

Always remember learning a trading system is easy, executing it is the harder part – but if you understand this, you can see that if you get the right Forex education and adopt the right mindset, you can win and make big gains long term trading Forex.

Many people try and base their forex trading strategy on predicting where forex prices will go but this is one of the biggest mistakes you can make in forex trading. You can win and enjoy currency trading success but you must not try and predict for the following reason.

Predicting the future is impossible and so is predicting forex prices and where they will go. Why? Because prediction is another word for hoping and guessing and you wont make money doing that in life – or with your forex trading system.

TRADE THE REALITY

The way to trade forex markets successfully is to trade the reality of price change and execute your trading signal in line with it an example will make this clearer.

Traders will often look at an area of support and want they want to buy low and get their marketing timing right at the bottom. As prices approach support they buy and hope and many occasions’ prices keep going and go through support and hit their stop.

You don’t know if support is going to hold so don’t try and predict!

The best way to trade is to wait for support to hold and turn away from the level i.e it’s been tested and has held.

How do you do this?

You need proof and the best way to do this is to look at momentum and use some momentum oscillators to indicate a trend change.

Good ones to use are:

The stochastic RSI, ADX, MACD etc

We dot have time to cover these indicators in detail here, ( simply look up our other articles) they will alert you to potential trend changes and let you enter the market when the odds are in your favour.

EXACT MARKET TIMING IS NOT POSSIBLE

You may say I Will miss the exact turn and yes you will but you couldn’t predict that anyway so there is no point in trying. If you caught just 50% of every major move you would make a lot of money.

What you are doing is trading the reality and what you see on a forex chart and that’s the way to get the odds in your favour.

TRADE THE BREAKOUT

If you want to know the best way of trading try trading breakouts.

It’s a fact that most major moves start from new market highs NOT market lows and buying or selling new highs or lows will enable you to catch every trend.

Most traders want to get into these moves but don’t, as there waiting for a pullback and a better price but it’s a fact most of these major moves don’t pullback – they accelerate away from the breakout.

If you learn to trade these moves, you’re not predicting your trading the reality of a breakout and will be in on all major trends.

A MAJOR MISTAKE

Most traders get so obsessed with getting perfect market timing that they trade low odds set ups – They think buying just above support is low risk way of trading but they don’t have the odds in their favour and lose. It’s the same with breakouts – they think they have missed a move, wait for a pullback and never get in.

If they would have traded the reality of the break the odds would be on their side.

TRADE THE ODDS AND WIN

Any successful forex trading strategy should be based around trading the odds and that’s why prediction is doomed to failure – it looks low risk on the face of it but is anything but.

If you trade the reality and confirm your moves with your forex trading strategy, your chances of success are greatly enhanced and you can make a lot of money. Try and predict and your predictions will be as accurate as your horoscope and you will join the 95% of losing traders.

Anyone can learn to trade forex and win but the fact is 95% of traders lose because they either have the wrong mindset or get the wrong education and here are the major mistakes traders make which you must avoid, if you want to win…

1. Following Expert Advice

This includes the vast amount of junk online from ridiculous forex robots and sure fire systems which give promise untold riches for $100.00.

Sounds too good to be true?

Of course it is! Most of the so called experts have never traded and produce back tested track records on paper to support their systems! That’s not the same as cold hard dollars, made NOT knowing the prices in the real world.

If you think a forex expert can unlock the door to financial freedom for you, you are going to be very disappointed.

Just like in any other area of life, you have to achieve success on your own – but for the effort involved, the rewards can be life changing.

2. Working to Hard

In point 1, we have covered the lazy traders who make no effort and on the other hand there is the trader who thinks if he is clever, or works hard, it guarantees success – it doesn’t.

Forex trading success is all about working smart NOT hard – you don’t get rewarded for working hard but being right.

It is my contention that once you have a system (and that should only take you a couple of weeks if you get the right forex education), you can make a triple digit income, working just 30 minutes a day.

3. Poor Money Management & Lack of Discipline

There are also a large group of traders who can get the direction of the market right – but fail to make money due to poor money management.

Money management is much more than placing a stop – it’s learning how to trail it correctly to milk the trends and deal with volatility

Many traders make minor profits from trades when they could make huge profits.

Volatility constantly stops them out with small losses before the trend is in motion or they move their stop to quickly and only make a minor profit.

Also many traders simply cannot take losses but to succeed in forex trading you must have the confidence in your trading system, to do so and these periods can last for weeks or months.

You need to stay on course, until you hit a home run – if you cannot trade a system with discipline, you don’t have one!

Most traders make the error of thinking the more leverage the better and you can get 200 or even 400:1 so why not use it? Well if you do on a small account its blow out time. You should really only be using 10 – 20:1 and believe me that’s plenty.

Be Realistic and Win.

Forex trading is NOT a walk in the park and that’s why 95% of traders lose. However, if you accept you need to work at the basics and do it on your own you’re on the way to success.

The key point you need to understand is – the market doesn’t beat the trader the trader beats himself.

You can win so get the right forex education and mindset and you’re all set to get on the road to currency trading success.