What can separate successful traders from the rest? Evidence from 73 mln trades
This article says its found "what we believe to be the number one mistake that separates the successful traders"
I saw this earlier in the week and then promptly forgot to post it. I think it could be useful and at the very least is worth a read.
Food for thought;
- First we highlight a fact that may surprise you: the average retail FX trader captures profits on their trades more than 50% of the time.
- If traders were right more than half of the time, why did most lose money?
- The above chart says it all. In blue, it shows the average number of pips traders earned on profitable trades. In red, it shows the average number of pips lost in losing trades. We can now clearly see why traders lose money despite bring right more than half the time. They lose more money on their losing trades than they make on their winning trades.
What say the traders of ForexLive?