So where do I need to move...uh, I mean where do you live? I imagine that job will only build skills to be good at that job. If these typical jobs built real and life skills, I don't think society would be the way that it is.

Why do we trade?... no really, why?

The problem I have with this quote is that it generalises. Discretionary trading varies from the beginner relying on their gut, to highly skilled traders who know when to use their judgement to deviate from a strategy. Discretionary trading probably ...

EURUSD

Reward isn't necessarily a guess - if you exit using a target profit, then it is reasonably accurate. I just don't think it's the right way to go about it though. Like you say, it's focusing on the wrong thing. I can't think of a better analogy, but ...

Risk Reward Ratio is not used for making money

I've counted cards, hustled online casino bonuses, bet on sports, played poker and trade, and have had quite a few large drawdowns and busts. Each one has been character building, and the benefits gained have ranged from extreme emotional stability, ...

Draw Down Experiences and Recovery

I think people find it attractive because in theory, getting 2:1 on what they think is a coinflip seems like a good bet. Many don't realise that by changing from 1:1 to 2:1, that situation is no longer a coinflip, if it was even a coinflip the first ...

Risk Reward Ratio is not used for making money

A successful trader contributes far more to the local economy, and in taxes, paying more than their fair share for infrastructure and services.

Why do we trade?... no really, why?

Just attempting to fill in the variables needed to make such a decision . Then we can conclude that he probably wasn't the sharpest tool in the shed.

A story about a burglar and forex

He considered the change in situation. If 10 seconds adds considerably more risk, then the plan didn't have any margin for error in the first place, in which case I'd consider it a bad plan. I'll assume that he allowed margin for error, and those 10 ...

A story about a burglar and forex

Sounds like you took too large a position, or ignored closing it out and are holding on, averaging down (well, up in this case), desperately hoping for it to turn around. Not a good position to place yourself in.

AUD/USD

It has it all: conspiracy theories, gambling voodoo, human incarnation of a god, and black birds. Never before have I met a broken trader, so this is an interesting experience.

Risk Reward Ratio is not used for making money

Charleyher, if nothing else, you have given me a good laugh!

Risk Reward Ratio is not used for making money

I didn't say that at all, and if you believe that the evil, always correct bankers etc are on the other end, then you're taking the other extremity of the scale. A bank that takes the other side of my trade is not likely trading against me, and if ...

Risk Reward Ratio is not used for making money

My response was to complete the common proverb "The more things change, the more they stay the same". The market does change, but it doesn't. New rules, technology, methods etc are introduced, but markets operate by human behaviour, and this is ...

Risk Reward Ratio is not used for making money

Yet always stays the same. Markets operate under the same natural behaviour. The market doesn't take, a portion of participants do. The market is not an entity, it is a group made up of all participants. Participants are smart. Participants are ...

Risk Reward Ratio is not used for making money

Better put that tinfoil hat back on.

Risk Reward Ratio is not used for making money

Obviously we can't perfectly compound results in the real world, but it wasn't necessary for my point. I wanted to make it as simple as possible as some were already not following! I'd only bother considering it if I wanted to calculate growth ...

Risk Reward Ratio is not used for making money

I'm not making an assumption, I just kept it simple in order to be as clear as possible. Precise numbers aren't what illustrates my point. As for CBH123, we're not coming from a different set of assumptions, he just misunderstood what I said (he ...

Risk Reward Ratio is not used for making money

The risk is 1% of account per trade. 60% of the time we would win 1%, and 40% lose 1%. Overall, we would gain 0.2% on our account per trade, or 20% on the amount we risk. The winrate is irrelevant though, I could substitute it for a 30% winrate with ...

Risk Reward Ratio is not used for making money

I wasn't saying it wasn't possible at all (I have no idea), I was just stating that 90% is not the least one should accept at 1:1. Plenty of money can be made at a far lesser winrate. As I understand it, you are denying that 60% at 1:1 makes money, ...

Risk Reward Ratio is not used for making money

I wasn't personally affected, because as I said 1:1 has nothing to do with me. I replied because you are wrong. It may try yours, but it would not try mine. Suggesting 90% at 1:1 is ludicrous, as anyone achieving that will become a billionaire in ...

Risk Reward Ratio is not used for making money