Lessons
You know, it's interesting when you really think about how the world functions—it often revolves around a reverse risk-reward (RR) system. This concept actually applies to trading too, even though just about every person selling a trading course will tell you it's impossible or unwise.
Lessons
Everyone's always talking about the profits in trading—the big wins, the hefty payouts—but hardly anyone seems to factor in the time we pour into getting those gains. I mean, what's the point of making a ton of money if you don't have
Lessons
So, you've just funded your trading account and you're eager to dive into the markets. Exciting, right? But before you jump in headfirst, let's talk about how to avoid making your hard-earned money disappear faster than you can say "Forex." Here are
Lessons
The quest to feel good is why humans do things like drugs. But to make money trading you have to avoid wanting to feel good. Professional traders lose a lot; if I got a 40%-win rate, I lose more often than I win (obviously). But, if my entire quest
Lessons
More leverage is like a credit card with a higher limit, just because you have a higher amount you can borrow doesn't mean you actually have to use it. More leverage doesn't equal more risk unless you also increase your lot sizes. Margin trading allows traders
Lessons
So, there’s been this popular idea floating around among central bankers since the inflation chaos post-COVID: everything’s changed for good. A lot of folks are convinced that we’ll never see zero interest rates or negative rates again, and that the neutral interest rate has gone up. But
Lessons
In Forex trading, many new traders ask questions like, “Why did this currency pair move up?” or “Why did the market react this way?” While understanding the market's mechanics can be helpful, experienced traders often say that asking “why” is not as useful as asking “what” and “how.
Lessons
Most new traders put nearly all their energy into perfecting entry points. In fact, I'd say about 90% of their focus is on just that, which can cause them to miss the bigger picture. Way back in the '90s, Tom Basso and Van Tharp looked into this
Lessons
Step 1: Don't trade like the 90% if you want to make money like the 10%. Truth is that the vast majority of "traders" aren't even traders. They're demo warriors or they got lucky for like 2 weeks. They'll give
Lessons
Which has better odds of making a profit? Risking 1 to make 2 or risking 2 to make 1? 1:2 has 33% odds to win, 2:1 has 77% odds to win. Most people would then say "well the end profit is the same, it evens out"
Lessons
Love the money, not the trade. When you prioritize making money over being "right," everything else starts to fall into place. It shifts your entire focus, driving you to build a system based on numbers and probabilities instead of emotions and opinions. Instead of seeking confirmation or trying
Lessons
Odds are, your win rate will gravitate toward around 50%, no matter what strategy you use, due to the inverse relationship between risk-to-reward (R:R) ratios and win rates. Think of it this way: the R:R ratio determines how much you're willing to risk for a given