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Interbank Currency Trading
Over the last three decades Interbank Currency Trading, has become the world’s greatist financial market. With over $1.5 trillion USD traded daily, and by the year 2007 more than $8.0 trillion will be traded every day. Forex is part of this bank-to-bank currency market known as the 24-hour Interbank market. Interbank Currency Trading literally follows the sun around the world, moving from major banking and forex trading centers of the U.S.A to Australia, New Zealand to the Far East, to Europe then back to the U.S.A the following morning.
Up until 1995 Trading Forex or Interbank Currency Trading was only available to banks and large multinational corporations but today, thanks to the proliferation of pc’s and the internet, this market is open to everyone. The Forex Market is where worldwide traders conduct business by high-speed Internet connections with the Interbank Foreign Currency Exchange via Forex Brokerage Firms. Amd so the Forex market has become the fastest growing trading market in the world.
But 10% Of Traders Go Bankrupt
I was thinking about an article I read some time ago that 90% of traders who ever trade lose their account and that 10% actually go bankrupt. If the first number doesn’t scare you then the second definitely should.
Why is it then that there is such a large number of traders failing? It is not because they are stupid; in fact most traders have an above average IQ and are above average in most categories such as education and income. So why do they fail?
Lack of trading education!
By education I don’t just mean learning how RSI works, the trends of the Forex Market or drawing lines on a chart. I mean thoroughly educating yourself in all aspects of your chosen profession. Educating yourself on the correct psychological approach to the market! Educating yourself in the correct risk management techniques relative to your account size. Educating yourself in the correct entry and exit
methods for the trading style that suits you.
This, my friend, is where I hope to be of some help. I don’t have all the answers nor do I profess to be some kind of guru but I will do my best to point you in the right direction.
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