If someone is making a lot of profit, does it mean he/she is Forex Expert? Can profitability become the measure of a trader’s worth? This is a very commonly accepted misunderstanding, because it’s only half-true. During the Lehman Brother’s incident in 2008, several people got the hang of big fish and overnight profit was just an easy click. I, too, earned $ 5 million in 3 months with 200 leverage and initial investment of $ 10 Grand, but at the end of that year, I’ve lost most of it with the market reverse.
Why do people lose a lot of money after earning a lot? In my case, I was stuck in a fantasy where I endlessly made profit without understanding the foregoing market. Many Forex beginners profiting traders do not know the importance of fully comprehending the technical analysis of the market or they don’t even care the difference between fundamental and technical analysis.
On the other hand, the people who kept their wealth are equipped with basic knowledge as a trader. Not only understanding the market, Forex Experts have their own ways to control their mind to be stable and flexible. A good trader waits patiently until the fish has finally reached the bait and reel in the fish at the right timing. Making profit with luck is feasible possibility in Forex, but the more important question is “how was the profit made?” and “Can you reproduce the profit with same method?”.
A skilled Forex Expert trader is not determined by the volume of profit, but the precision and frequency of profitable trade. The profit is not something that can be maintained by a hunch or luck, but it can be recreated with precise execution of strategy procedures. If you are not making profit right now, don’t be hasty. You are building your skillset as trader and accumulating irreplaceable experience by losing and winning. If you train persistently through this apprentice phase, you will be making profit in time not too soon or later. To answer the given question, it is a Forex Trading Myth to believe that the probability determines the significance of a Forex trader.