It has long been argued whether traders were made or born to be - so is it an innate gift or is a skill anyone can learn?
Well consider this:
A baby does come out the womb saying buy "euro sell yen" he has a long way to go in life, he has to learn to walk talk and many choices to make and has it all to learn.
The world is truly his oyster.
Some argue that intelligence is genetic - but you don't need more than a basic education to trade and one person set out to prove this, in his famous turtle experiment. The trader was a legend by the name of Richard Dennis.
He gathered a group of people with no knowledge of trading of all ages, different sexes and varying levels of educational ability together and taught them to trade in just 14 days - the result? They made him in excess of $100 million dollars in just 4 years and went into trading history.
So Dennis proved that anyone could learn to trade, with the right forex education and a simple robust forex trading system but there is a paradox:
If anyone can learn to trade, why do 95% of speculators burn their money and lose? The answer is they simply get the wrong education. The core of the turtle experiment was to teach an inner understanding of strengths and weaknesses of the pupils - it's not the market who beats the trader - the trader beats himself.
Dennis based his teaching on 3 core points
1. A simple trading system that the traders could understand and have confidence in. He taught them the trading basics they then had to make them work, his tuition stopped after 14 days. 2. He taught them that if they wanted to win long term, they would have to keep executing their trading signals through long periods of losses and this is why understanding of the system and themselves was so important to achieve long term currency trading success.
3. Finally, he taught them to play great defense and take lots of small losses and run their few profits. They had far more losers than winners but still came out on top.
Most traders don't ever get an understanding of what they do and they never acquire confidence and discipline, because they blindly follow someone else. Most traders also let their losses get out of control. You can perhaps see from the above that the trader who under estimates the mental side of trading (the turtle method was very simple) are destined to lose.
The conclusion is:
If you have desire, chances are you will learn and digest the above realize success is within your grasp. If you learn the right knowledge and unlock the key to mental discipline at the same time, you have the combination of method and mindset to pursue your goal.
Can you become a successful forex trader? The answer is yes.
You may not become as rich as the turtles did - but there is nothing stopping you from making serious money in the world's most exciting business of global forex trading.
No comments:
Post a Comment