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  1. #1
    akzhanghunan1 is offline Member
    Join Date
    Feb 2012
    Posts
    58

    Default 95% failure rate?

    Is it a statistical fact the 95% of all traders fail in this business, or is this just some myth made up by some company trying scare you into buying their product?

    Also if 95% do fail and FF makes up a small population of traders in the world, then would that make only a hand full of us here successful?

    Correct me in advanced if I am wrong I would just like to disprove this myth if in fact it is, thanks….

  2. #2
    Sng
    Sng is offline Member
    Join Date
    Nov 2008
    Location
    Singapore
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    59

    Default

    I think most forex broker and bank earn via commission and spread rate. Forex trader that does earn profit from forex trading is very little as compare to the whole trading community.

  3. #3
    tradingmarket is offline Junior Member
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    Jun 2012
    Location
    London, UK
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    3

    Default

    This rate is true because most of the novice traders risk too much and in one unlucky day lose all their trading capital. Afterwards, they leave forex trading making up this awful statistics. However, there is no problem in forex itself. For example, a trader would be successful with just 52-53% of winning trades (assuming take-profits and stop-losses are equal) because that would be enough to cover spreads and making very little profit. With winning rate of 55%+ a trader would be successful.
    http://www.tradingmarketonline.com

  4. #4
    Sng
    Sng is offline Member
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    Nov 2008
    Location
    Singapore
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    59

    Default

    That's true. Winning percent and winning trades can be misjudged. Most important is the winning pips against lossing pips.

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