Some people asked: Online, you often read about Forex Trading ads that boast off Forex-trading 300x290more-system1-than 90% winning trades. Sounds good, right? Would you pay $ 100 for a trading system that can win 90 out of 100 trades?
If you answered yes, you are in trouble!
Unfortunately, the truth is that a high probability of winning with little to do a profitable dealer. In reality, it is easy to have 90% winning trades and still lose money.
Do not believe me? Go ahead an online search looking for the "Turtle Traders". If you are familiar with them, you will know that they are very profitable retailer with a 20% winning trade percentage.
Allow me to explain,
Set to make 10 trades a month, and 9 of these trades are profitable at $ 1 per winning trade. This means that you have a winning percentage of 90%, with $ 9 pay. And if you only have a losing trade of 10 (ie 10% losing trades), but you lose $ 10, that a losing trade. Overall, you would lose ($ 9 - $ 10) have $ 1 on all your ten trades.
Can you now see why a high winning percentage does not mean that to be a successful trader? You see, it's not about how many times you win, but how much you win.
So do not fall for the marketing tricks
Many customers use high winning percentages as a sales tool to get you to the trading systems to sell to buy them. They know that winning traders, who do all the time, and who does not want to win often? These advertisers are trying to win any appeal request, and unfortunately many people fall for their trap.
Conclusion
It's easy to have 90% winning trades and still be a loss to Trader. At the same time you can have a low probability of winning, but a very profitable trader. In reality, winning percentages very little to do with a distributor for success.
So do not fall into the advertiser the case when you see their "high probability of winning," said next time when winning the men high percentages as a sales pitch, chances are that very little about what does it really become a successful traders know to be. Be careful!
