I'm currently learning how to trade forex. But I want to learn frombhe elders why people lose money trading forex because I've heard a lot of people say forex is akin to gambling.

Cc: karleb krazydave20

People call what they don't understand scam.

https://www.babypips.com/learn

Visit that link to learn.

I will then advise you to join a Forex trade alert community here on NL.

https://www.nairaland.com/6340195/forex-trade-alerts-season-21/49#99424717

they use big lot size on small account and still don't use stop loss..

they want to make millions quickly..

they enter trades carelessly because they want to meet up with their unreasonable daily target of 10% daily. this target can be achieved but not everyday and the very you fail to achieve 10% you will double your regular lot size and at the end blow your account

most people blow their account because forex is their only source of income..

you will always lose in forex but your loses should be small and your profits big..

this week I lost 6% and I gained 14.5%.. so 14.5% - 6% = 8.5% all from 12 trades..

Here are some reasons why they fail:

Risk management and leverage: you need to plan a scenario before your trade for any possible movements. You need to have an exit strategy that you stick to that also doesn’t become risky. It is better to lose 50% of the time when 50% of the time you are quadrupling your money than to lose 10% of the time but only making 5% of your money every time you win.

Emotions: every successful trader ditches emotions. When you let emotions get to you, trading literally turns into gambling. Most people lose money with gambling too, so don’t let emotions get to you.

Invalid strategy: most traders do not test their strategies correctly or stick to their rules of their strategy. You need to test your strategy constantly and stick to the rules if it’s making you money to become successful. Many traders do not use indicators successfully, and many indicators actually can cause traders to lose money depending on the way they use them. It is really all about having the right knowledge.

The5DME:
I'm currently learning how to trade forex. But I want to learn frombhe elders why people lose money trading forex because I've heard a lot of people say forex is akin to gambling.

Cc: karleb krazydave20

Most Forex traders don't understand how Smart Money profits. They trade based upon limited information which typically results in a losing trade. Eventually they throw in the towel and give up.

Just about everything Retail Forex traders do is the exact opposite of what professional traders do. Most of the information available to Retail traders will not help them be successful. They continue to look for something to supercharge their trading and they never quite seem to find it.

Trading is not about finding a secret like finding the "Hidden Immunity Idol" on the TV show "Survivor". There is no secret. Trading is a mind game which is fought in your head not on your screen. What happens on your screen happens with or without you. Your participation doesn't change what happens. What you do and how you participate in the order flow determines whether you win or lose.

Forex traders need to change their thinking, their trading mindset, and how they participate. If they are always losing they must be doing something or many things which are not profitable and not in their best interest. The market has no idea that any individual trader is present in the market and is losing consistently.

When Forex traders or traders in any financial market for that matter start to change the way they trade and do the things that professional traders do they will immediately see an improvement in their results. As their results improve they will gain confidence in what they are doing which in turn will help them to stay in the game and eventually they will turn the corner and become net profitable.

Summary
There are more reasons, but these are MOST reasons. My recommendation is that you need to trade with “fake money” first, then master these pieces of information above, and then once profitable consistently trading with fake money, then go out there and trade for real. The only problem is 19 out of 20 traders just actually do not follow through and correctly complete these steps I am giving you. If you can complete this correctly, then welcome to the top 5% (the successful traders)