Day Trading Systems - Use One and You Will Lose Your Money Quickly!
I am a forex trader and believe me day trading systems are simply a great way to lose your money.
I see lots of day trading systems and its great copy, but I always look for a track record of real profits not a back tested simulation and whenever I ask for one I don't get it.
Why? Day trading systems simply never make profits for their users over the long term.
Day trading systems simply don't work and they are mostly sold by e-book sellers who have never traded in their lives.
So why don't they work? Its common sense really, but greedy traders looking for a quick buck fall for the hype.
1.
You cannot judge price movements over short time periods Currency trends reflect the underlying health of the economy and a day's action is simply a guess - You have no reliable data to work on so may as well flip a coin.
The odds are only in your favour on longer data and catching longer term trends.
2.
Day trading breaks the fundamental rule of trading Ever heard this phrase? "Run your profits and cut your losses" Well how on earth can you do this in day trading? It's a fact: You are going to lose at times (that's fine every system does) but you need to make profits bigger than your losses to win longer term and you cant do that in day trading, as by its very nature a day trading system will cut your profit for you! Why do people use day trading systems? Day trading systems claim their less risky, but this is not true.
They simply guarantee the odds are against you and you will lose.
By trying to avoid risk they actually create it.
Sure, you may risk less per trade, but what's the point of that - If you are guaranteeing your account equity will be wiped out? Day trading systems appeal to greedy ignorant investors who think making money is easy and e-book and day trading system sellers satisfy their needs.
Making money in forex trading is hard, so don't fall for the hype of day trading systems.
Still not convinced? Then find someone who sells one who can produce an audited track record of profits over the long term.
You may be in for a long wait however, perhaps as long as you will have to wait for a day trading system to make you money.
Don't believe the hype of day trading systems, focus on the facts and you will see it is the longer term systems that make money.
I see lots of day trading systems and its great copy, but I always look for a track record of real profits not a back tested simulation and whenever I ask for one I don't get it.
Why? Day trading systems simply never make profits for their users over the long term.
Day trading systems simply don't work and they are mostly sold by e-book sellers who have never traded in their lives.
So why don't they work? Its common sense really, but greedy traders looking for a quick buck fall for the hype.
1.
You cannot judge price movements over short time periods Currency trends reflect the underlying health of the economy and a day's action is simply a guess - You have no reliable data to work on so may as well flip a coin.
The odds are only in your favour on longer data and catching longer term trends.
2.
Day trading breaks the fundamental rule of trading Ever heard this phrase? "Run your profits and cut your losses" Well how on earth can you do this in day trading? It's a fact: You are going to lose at times (that's fine every system does) but you need to make profits bigger than your losses to win longer term and you cant do that in day trading, as by its very nature a day trading system will cut your profit for you! Why do people use day trading systems? Day trading systems claim their less risky, but this is not true.
They simply guarantee the odds are against you and you will lose.
By trying to avoid risk they actually create it.
Sure, you may risk less per trade, but what's the point of that - If you are guaranteeing your account equity will be wiped out? Day trading systems appeal to greedy ignorant investors who think making money is easy and e-book and day trading system sellers satisfy their needs.
Making money in forex trading is hard, so don't fall for the hype of day trading systems.
Still not convinced? Then find someone who sells one who can produce an audited track record of profits over the long term.
You may be in for a long wait however, perhaps as long as you will have to wait for a day trading system to make you money.
Don't believe the hype of day trading systems, focus on the facts and you will see it is the longer term systems that make money.
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