Forex Managed Account Service

[JosephKevin 10]

It's commonly known that most forex traders fail. In fact, it's estimated that 96 percent of forex traders lose money and end up quitting. To help you to be in that elusive 4 percent of winning traders, I have compiled a list of the most common reasons why forex traders lose money.

 

1. Low start up capital

Most forex traders start out looking for a way to get out of debt, or to make easy money. It is common for forex marketing to encourage you to trade large lot sizes and trade highly leveraged to generate large returns on a small amount of initial capital. You must have some money to make some money. It's possible for you to generate outstanding returns on limited capital in the short term. However, with only a small amount of capital and outsized risk, you will find yourself being emotional with each swing of the market and jumping in and out and the worst times possible.

 

Solution:

People that are beginners in forex trading should never trade with only a small amount of capital. This is a difficult problem to get around for someone that wants to start trading on a shoe string. $2000 - 10000 is a reasonable amount to start off with, if you trade very small. Microlots or smaller. Otherwise you are just setting yourself up for potential disaster.

 

 

2. Failure to manage risk

Risk management is key to survival. You can be a very skilled trader and still be wiped out by poor risk management. Your number one job is not to make a profit, but rather to protect what you have. As your capital gets depleted, your ability to make a profit is lost.

You can use professional trader or managed account services (URL REMOVED BY MODERATOR - PROMOTIONAL)

 

Solution:

Use stops, and move them once you have a reasonable profit. Use lot sizes that are reasonable compared to your account capital. Most of all, if a trade no longer makes sense, get out of it.

 

 

3. Greed

Some traders feel that they need to squeeze every last pip out of a move. There is money to be made in the forex markets every day. Trying to grab every last pip before a currency pair turns can set you up to lose the profitable trade that you are sitting on.

 

Solution:

It seems obvious but, don't be greedy. It's ok to shoot for a reasonable profit, but are plenty of pips to go around. Currencies move every day, there is no need to get that last pip. The next opportunity is just around the corner.

 

 

4. Indecisive Trading

Sometimes you might find yourself suffering from trading remorse. This happens when a trade that you open isn't immediately profitable, and you start saying to yourself that you picked the wrong direction, and then you close your trade and reverse it, only to see the market go back in the initial direction that you chose.

 

Solution:

Pick a direction and stick with it. All that switching back and forth will just make you lose little bits of your account at a time you can also use (URL REMOVED BY MODERATOR - PROMOTIONAL)

[forex5x 10]

Be careful of managed accounts in general. I worked to match up people with a broker and I find that the common issue is one of over trading. The trader will get a bit behind and jack up the lot sizes to "catch up" and if that works out it is still a danger signal.

 

Also, a lot of traders will show you their demo account statements. It is much easier psychologically to trade a demo. If you get a draw down equal to a nice house that can put pressure on ones psychology.

 

This is why I am working on an automated system.

 

One thing I would like to point out is that every trader is an individual and the system you use has to fit you pretty well. Personally, I find I can't be patient enough for a long term trade....that is just me. That doesn't mean someone else can't do very well at long term trades. News is another one I like to avoid while others like to jump in. You will find that you will learn about yourself if you pay attention almost as much or more than a therapy session.

 

The markets are very much a mirror of many other parts of life.

 

Best wishes and .......be careful of risk first and profit second.

[fxallday 10]

I agree with most of your words. Risk & loss are "waiting" for people who are doing their first steps in forex. :doh:

I prefer autotrading platforms rather than managed account cause there I have the possibility of choose different systems to open trades for me. I follow 4 signal providers in zulutrade. Anytime I want I can remove them from my portfolio and add new. I have not to pay them for receiving their signals. Execution is happen automatically in their and my account. No fees no commitments!

Free and flexible suitable in the way I am thinking.

[gavind 11]

Hi Joseph, Sorry to bump this up but any news so far if you could provide new tips for aspiring traders out there?

[shuvo7748 10]

It's commonly known that most forex traders fail. In fact, it's estimated that 96 percent of forex traders lose money and end up quitting. To help you to be in that elusive 4 percent of winning traders, I have compiled a list of the most common reasons why forex traders lose money.

 

1. Low start up capital

Most forex traders start out looking for a way to get out of debt, or to make easy money. It is common for forex marketing to encourage you to trade large lot sizes and trade highly leveraged to generate large returns on a small amount of initial capital. You must have some money to make some money. It's possible for you to generate outstanding returns on limited capital in the short term. However, with only a small amount of capital and outsized risk, you will find yourself being emotional with each swing of the market and jumping in and out and the worst times possible.

 

Solution:

People that are beginners in forex trading should never trade with only a small amount of capital. This is a difficult problem to get around for someone that wants to start trading on a shoe string. $2000 - 10000 is a reasonable amount to start off with, if you trade very small. Microlots or smaller. Otherwise you are just setting yourself up for potential disaster.

 

 

2. Failure to manage risk

Risk management is key to survival. You can be a very skilled trader and still be wiped out by poor risk management. Your number one job is not to make a profit, but rather to protect what you have. As your capital gets depleted, your ability to make a profit is lost.

You can use professional trader or managed account services (URL REMOVED BY MODERATOR - PROMOTIONAL)

 

Solution:

Use stops, and move them once you have a reasonable profit. Use lot sizes that are reasonable compared to your account capital. Most of all, if a trade no longer makes sense, get out of it.

 

 

3. Greed

Some traders feel that they need to squeeze every last pip out of a move. There is money to be made in the forex markets every day. Trying to grab every last pip before a currency pair turns can set you up to lose the profitable trade that you are sitting on.

 

Solution:

It seems obvious but, don't be greedy. It's ok to shoot for a reasonable profit, but are plenty of pips to go around. Currencies move every day, there is no need to get that last pip. The next opportunity is just around the corner.

 

 

4. Indecisive Trading

Sometimes you might find yourself suffering from trading remorse. This happens when a trade that you open isn't immediately profitable, and you start saying to yourself that you picked the wrong direction, and then you close your trade and reverse it, only to see the market go back in the initial direction that you chose.

 

Solution:

Pick a direction and stick with it. All that switching back and forth will just make you lose little bits of your account at a time you can also use (URL REMOVED BY MODERATOR - PROMOTIONAL)

 

Hello JosephKevin,

 

I read you 4 point carefully and i am totally agree with you. I really appreciate you. some time i do mistake with Greed. but now i will be more careful. and about your 1st point ` Low start up capital` everyone can`t start with $2000 - $10000. For them i would like to say keep patient trade small lot try to progress slowly....:pc guru:

[prax 10]

Hello JosephKevin,

 

I read you 4 point carefully and i am totally agree with you. I really appreciate you. some time i do mistake with Greed. but now i will be more careful. and about your 1st point ` Low start up capital` everyone can`t start with $2000 - $10000. For them i would like to say keep patient trade small lot try to progress slowly....:pc guru:

 

some traders are turn greed into their needs. without greed there's no such thing as profit. the very reason why people turn into fx trading are based on greed, and when they start trade, greed are most prohibited thing to do, obvious isnt ?

my thought is no need to wipe out your greed, you just to maintain and develop your greed into right direction, a positive well planned greed program .

"Low start up capital` everyone can`t start with $2000 - $10000" what he mean is a capital where we can start a trading for living activity, which means high deposit with low risk, still maintain to cover your living expense. said 10% profit from 10k , are 1000 usd it good enough for your expense surely. but there's many brokers offer low deposit, but my suggestion avoid brokers with bonuses, they will eventually consume your small deposit.

i start with low deposit ecn account with armada markets, 300 usd, it's a test deposit purpose, keep watch their trading condition for months, ask many basic issue with their support, a silly one sometimes, as long as they answer with honest and good respond mean they're value their client even the client with low deposit, later on i try to withdrawn small portion, and see how the process going. so far giving me a good deed, make me comfortable to made another deposit attempt, as for now i have several account with them with raise of deposit for sure.

[fxpartyguy 10]

PAMM accounts are valid but very dangerous way to earn. Really can't understand how to trust my own money to the guy I never meet personally, but relying on stats, that can be rigged easily..Where is the sense

[prax 10]

PAMM accounts are valid but very dangerous way to earn. Really can't understand how to trust my own money to the guy I never meet personally, but relying on stats, that can be rigged easily..Where is the sense

 

never goes with pamm account, try with forexcopy system. its almost the same way, but we dont have to move our fund into traders account. means you have total control of your account.

is not make sense at all for trusting your money with someone you didnt knwo about.

but reason why most investore use this kind of service is they cant trust their own trading capability, unless they accept that fact and move out become a smart investor rather than struggle to become decent trader. it's a good way to start earning, learn about successfull trader, but it required a deep knowledge of how define which trading system are suit their investment plan.

[fxeconomist 11]

I agree with most of your words. Risk & loss are "waiting" for people who are doing their first steps in forex. :doh:

I prefer autotrading platforms rather than managed account cause there I have the possibility of choose different systems to open trades for me. I follow 4 signal providers in zulutrade. Anytime I want I can remove them from my portfolio and add new. I have not to pay them for receiving their signals. Execution is happen automatically in their and my account. No fees no commitments!

Free and flexible suitable in the way I am thinking.

good for demo, but not for real. Exposing your money to a real risk with some dumb decision of follow unknown signals is something from my nightmares. I did use paid signals from MQL 5 but soon gave up it, because of worsened performance, moved to fixed spread HF account and trade myself there

[gavind 11]

I just don't get it. How can a demo account be different from a live one?

[fxeconomist 11]

I just don't get it. How can a demo account be different from a live one?

 

The difference is that in case of demo your money still stays in your pocket and in case of real you can lose them in a blink of eye..

[fxfive 10]

I prefer managing my personal trading accounts but I understand that there are people with a lack of risk and monetary management knowledge and rather trust their trading to a broker.