Joe Sheli explain the investments worlds, for beginners
- By Joe Sheli|10 Oct 2019
There is a lot of misleading information about trading in the internet, the kind of information that can make you question worthwhileness of trading. Information is power, but only when you get it right, so in this book, we gather all the right and basic information in a very easy to understand format.
Trading can be very profitable, and there are thousands of millionaires made by trading only. One of the most important facts in trading, is if you won’t get your strategy right from the beginning, it will defiantly change your life, but not for the better. Right for today, 82% of the day traders ending up losing money.
The beautiful thing is that if 82% of the traders ending up losing money, it means that 18% of the trades winning 100% of the money in the market.
I know that after you came across this statistics you will most probably start questioning yourself and think if day trading is for you. Day trading is not a magic machine that will make you a millionaire overnight, but it has a lot of potential once you know how to use it.
The right trading education, with the right trading platform will increase your success rate. Let me put it this way:
Let’s say that we are taking $10,000 and we give it to a monkey, to trade with it.
The money will open 10 trades with 1,000 USD risk, and 1,000 USD potential profit. What do you think will happen?
Statistically speaking, the monkey will win 5 trades($5,000 Profits), and will lose 5 trades($5,000 Losses), think about it, the market can only go up, or down.
And what will happen if I give those 10,000 USD to a well-trained trader?
The trader will most probably do better than a monkey, right? So if it is that simple, you should ask yourself, how comes that 82% of the people are actually losing their money?
Must of the people that I have seen losing their money were trying to become millionaires overnight, they were trying to gamble their way to success, without using any strategy or any psychological rules.
A very important aspect of trading is psychological training.
You will have to learn how to deal with losses, and how to force yourself to stop when you make money, without giving up to your greed. You will have to learn how to avoid getting into panic and stop a trade before you should. After you’ll have the right strategy, you’ll have to learn how to stick to it.
Before you pick your Forex Broker and make a deposit, check out our 5 tips before choosing the right broker.