>Forex
why does everyone fail doing this ?
what's the difference between stoc and forex that makes it harder to be profitable ?
>>1238031
stocks you can get income through interest, dividends, trusts, whatnot.
with currencies, you're just looking solely at equity appreciation. though, futures for currencies are used to hedge against currency volatility
>>1238031
thing is you are profitable, till you are not..
and I'd say you need much insight and experience to swim in these waters and it's no way comparable to those, like Goldman Sachs & friends who got near zero losing days.
http://www.zerohedge.com/article/unfuckingbelievable-goldman-has-zero-trading-loss-days-last-quarter
You wanna bring a knife into a gun fight? Not a good idea I'd say, last I heard people stay aside last few years
Been there done that. Doubled my portfolio in a month on a leverage of 100, lost in next few months..
Try Bet & Win or go to a Casino or Poker Tournament.
>>1238054
sorry for shit link, there was a good article in Zero Hedge, can't find it now..
Never mind, Google will give you something with "goldman sachs no losing day"
forex is no different than stocks and futures. you just hear more of people losing in fx because its so easy to open an account. add in the extreme leverage 50:1 to 200:1. then add in the propensity for people to be emotional idiots and not trade logically with a known trading strategy, that was proven over a year in a demo account, and you get yourself losts of losers. lots of losers who will then call it gambling instead of admitting to themselves that they sucked at trading.
>>1238190
At least if idiots admitted from the start that they're literally gambling with their money they wouldn't be whining all the time.
I'm only half-aware of what I'm doing with my trades and investments but I see it as buying lottery tickets and it's been fun at least.
1, pick currencys to buy/sell
2. Dont buy/sell them, but keep track of whether you would have earned or lost money.
3. If u would have earned money, commence buying and selling as you see fit.
4. If u would have lost money, commence buying and selling THE OPPOSITE of what you think is a good buy/sell.
5. Profit
>>1238247
why not just demo account ?!
Is forex a 100% zero-sum game?
>>1238190
>forex no different than stocks
>emotions
>demo accounts
you have absolutely no clue what you are talking about
leverage, intrinsic value
unless you have a massive amount of capital to invest and you know exactly what you are doing as well as react to global news on a dime, you are not going to make much if anything. You are also betting against very precise algorithms which hardly allow you to find good trades.
>>1238247thats not how it works dude.... its not like theres a 50/50 way of trading. Most people fail because they do not have the ability to analyze and react effectively to shifts in global economies.
>>1238441
>massive amount to invest
>know what ya' doin'
>react to global news
jesus christ save us
>>1238373
Pretty much. It's a very "ideal" market.
As such, the gains are not very large.
>>1238031
more leverage is available, way more than is sensible
stocks trade on public exchanges where the microstructure is the same for all participants (sure there was the flash order thing and some participants are faster than others at getting to the exchange gateway) but if you submit a limit order or a market order then when it hits the exchange gateway it will be treated in the same way as anyone else's whether retail or professional - in FX this isn't the case, often for retail traders they're trading against a two way quote from a broker who also knows their position and past pnl, in cases where they aren't they're still at a disadvantage in terms of the micro-structure of the ECNs they're trading in which are biased towards the liquidity providers who negotiated an unfair advantage when the ECN was launched
lastly you're trading one or more of a few possible ccy pairs, which are also actively traded by professional investors
contrast that with stocks where there are thousands to chose from, plenty of which are below the threshold for a lot of hedge funds etc.. to bother with. So in addition to the inherent structural disadvantages you get with FX you're also essentially sitting at the same poker table as a bunch of pros, whereas in equities you can chose to drop down in stakes and maybe face a bit less competition.
>>1238517
Best concise explanation I've read.
Thanks for the info.
>>1238517
I've been trading forex successfully on a moderate 2.5 to 1 leverage for the last year and I only understood half of what you said.
I'll eventually be fucked, huh?
It's important to note that in stocks, everybody believes that long term stock prices are going to rise on aggregate. However, there is no such belief in forex - currencies go both ways.
>>1238685
not necessarily but quite possibly, depends what you're doing really
my point essentially was FX = lots of unfair venues to trade in and competing either against your 'broker' or against professionals who have an inbuilt advantage
equities = public exchanges, everyone's orders treated equally by the exchanges, trading against numerous people and can face less stiff competition as thousands of stocks to chose from
I'm not saying you can't make money in FX I'm just saying that in a lot of cases it is harder and certain things are stacked against a lot of traders
>>1239355
I'm also not saying that trading equities is 'easy' either
>>1239361
Also true, and some of the disadvantaged you cite can be found there as well.
For one, exchanges can pass your order over in favor of a round lot, or just because another order is larger (in that case, given the right circumstance).
>>1239369
yeah microstructures can vary....
maybe we should all trade futures instead... though not STIRS with all the pro rata matching nonsense FIFO only!
>>1239371
>STIRS
Hadn't even heard of that shit.
Commodity and index futures for now, but I was only approved last year, so it's early. Got a buddy who trades nothing but futures, always giving me crap for being in the equities markets.
>>1239387
I wouldn't bother with STIR futures, lots of institutions with massive size on the bid/offer - harder to get filled unless the price moves through you, also pretty boring trading say Euribor spreads etc.. commodities move a lot more! Brent - WTI spread can move like an outright
>>1239409
>Brent - WTI spread can move like an outright
Yeah, I like the volatility there.
But the global fuckery associated with the price movement is off-putting, at best.
top thread, much knowledge, wow, rapid interest, much equities
Forex is based on pure speculation.
i wonder if there are other things to invest money in, that arent stocks or forex, something easier as i am new to this(im 19yo).
>>1239914
Kneepads
>>1239936
>tax simplicity
Don't know if your taxes work the same as mine, but they're a killer deal for me. Effectively a cap gain kind of discount.
>>1239914
there are forms of investment in practically anything that holds a monetary value. For example: real estate, bonds, mutual funds, efts, futures, options, etc. If you really want to dig deeper you can find things such private business investments
>>1239914
the only way you'll ever make money is investing in stocks or forex
>>1240151
dubious statement to make
no money in real estate then?
>>1240662
>no money in real estate then?
no. only stocks and forex. maybe lottery or sports betting. slot machines might also be an option but only if you're old and jewish.
>>1240151
>investing
>in forex
Son...
>>1238031
>why does everyone fail doing this ?
leverage
>>1238031
the thing its when you realize that forex exist its from phony propaganda in intertet, besides of the shitty information you get in youtube or in almost any page of trading, the most of people who wants to start trading dont know anything about so it easy to cheat. Thats what i think
