I hope you’re OK reader,
after all that must have come as quite a shock.
Now you’ve picked yourself up the floor,
after reading the article title,
which is a fact (well kinda),
we’ll dwell on the subject at hand;
why do so many lose at trading forex and
what are the adjustments so many have to make
in order to be in that top forty percent of winners?
OK, before we go any further let’s firstly deal
with the 39% of winning traders quote.
The fact comes as courtesy of forexmagnates
in their redux lite version of a report
covering the profitability and
performance of USA based forex brokers.
The leading figure was 39.1% client profitability
from a broker who had circa 24,000 active accounts.
There’s also other interesting snippets of information
that are worth noting before we move on.
There was a steep fall in the number of accounts and
activity levels in 2011
whilst the percentages of profitable traders increased.
This could suggest a couple of interesting points,
firstly are we collectively getting better at what we do?
Or (and it’s not mutually exclusive) have
a lot of ‘amateurs’ left the arena,
gone back to the day job,
leaving the numbers to be enhanced by the superior or
more proficient traders?
More importantly the number of brokers has shrunk,
only the fittest of traders aided
by most regulatory compliant firms will thrive.
- Number of forex accounts held with US forex brokers drops by more than 11,000 to all time low of 97,206
- Clients’ profitability is up 6.4% on average, second consecutive quarter that profitability is improvin