EDUCATION FROM BROKERS
Thu 24 Jan
Does luck play a role in your trading
Instaforex: Any trade, whether experienced or a novice, hopes for good luck
Any trader, whether an experienced guru or a novice, hopes for good luck. A trader is a profession that involves continuous movement, opening and closing of positions. Do you know that sharks must move throughout their lifetime in order to ensure the blood flow and body functioning? Sharks never stand still.
Therefore, traders must constantly trade, if they want to earn. If you stop, you miss the moment, important experience and an opportunity to form a new case. However, even experienced traders quite often find themselves in a situation when the market picture looks vague and unclear.
Moreover, the chosen strategy, signals and other advisers are often not able to help. So, it is time for luck to come. This phenomenon is difficult to explain and adjust to any patterns or definitions. Some people call it intuition and some people call it subconscious, emanating from experience.
No matter how traders deny the fact of their belief in luck, they have it, as well as the profit received at the moment when the trading decision was made with the hope for good fortune. Let's find out how InstaForex traders feel about luck in trading on the foreign exchange market and whether there is something else behind it.
Nandar Manidan, a novice trader from Indonesia
Unfortunately, I often trade relying on luck. How often? Sometimes it seems to me that a half of my trading decisions is based on guessing the direction of the pair movement. I know I must use knowledge, analytics, technical analysis or signals, but since I started trading on Forex two months ago, I just want to trade more.
With such frequency and unwillingness to learn, I have to rely on luck. However, my own experience shows me that there are good deals. Sometimes I get lucky several times in a row, and I close one successful deal after another, but there are days when I lose money.
Probably, after some time, when I acquire more experience, I will not rely on luck anymore and will make independent decisions based on knowledge, experience and vision of the market. I hope this time will come as early as possible and my trading skills will improve. Although, you know, I still do not really complain.
Stepan Lobov, a trader and consultant with 8 years of experience from Russia
I believe that not a single trader, even having just installed a trading platform, ever rely on luck or something like that. No matter how dark the room is without light, windows and doors, you always decide to move in a certain direction, basing on something.
Especially when you have a pair movement chart in front of your eyes. Even the most inexperienced novice, seeing the chart and consuming the news background, subconsciously makes a decision because of some trivial or unimportant indirect information. Traders may think they make a trading choice without a single thought in their heads, but this is not true.
If you sit down next to traders and ask them why they made this or that decision, they certainly will explain it. They may sound uncertain, confusing and embarrassing, but they will explain.
The significance of luck on Forex and in other dynamic financial markets is greatly exaggerated. The presence or absence of good fortune means trading with a blindfold. Everything else is calculation and analysis. Therefore, when you hope for good luck, you trust yourself.
Gurprit Kumar, a trader with 5 years of experience from India
I do not like to rely on luck, because I do not feel control over the situation. It is always better to make trading decisions based on something. When I cannot do it on my own, I watch how others trade, using theForexCopy service from InstaForex for copying transactions.
If traders I follow are trading in different directions, I have to choose one of two options in blind. What are the results? They are always different. The probability of making the right decision is 50%. I think this is very good. I believe the market favours me.
Pavel Omansky, a trader with 3 years of experience from Poland
In Eastern Europe, they say that luck favours the brave. It really does. I consider myself a brave trader. I trade when it is better not to do it. I open positions when the market situation is unclear and it is impossible to predict something. I believe that you should always trade when you have time.
Otherwise, it turns to passive trading, which will never bring much profit. By the standards of Poland, I make pretty good money in trading. The reason for my success is not only experience, study ofanalytics and attempts to understand technical analysis, but also my courage. I believe in myself, I believe that I can earn more than I lose and, in the end, luck is on my side.
Andrei Papshenko, a trader with 10 years of experience from Ukraine
Luck in the Forex market is a rather philosophical concept. Sometimes you realize that you fixed a profit at the right moment. It is not about trends, analytics, graphs and all types of analysis, but it is about the moment.
I do not like to compare Forex with casinos, but they have something in common in the context of the right moment when you need to stop and close a deal. I can quite accurately choose a volatile pair, calculate the time to open a position and survive falls, but it is extremely difficult for me to make a decision to close my position on a wave of growth.
Having 10 years of experience in active trading in the foreign exchange market, I still do not know what will happen after the next minor fluctuation in the pair value. It may show a correction, fall and growth or just a fall to a stop loss. Therefore, for me, luck is needed only in the moment when you should stop and fix a profit.
These are opinions of five InstaForex traders from different countries and with different trading experience on Forex. Each trader forms his or her own vision of luck and its impact on profitability.
In any case, luck should be taken into consideration, as far as sometimes it serves as a good signal or adviser that helps us to remain active traders, open and close deals, accumulate experience and, more importantly, better understand and feel the market with its complicated mechanisms.
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