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Old 24-01-2006, 11:16   #3
mcboogs
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Re: The Key Of Success In Forex Trading Is Not Just Education

Quote:
so do not trade just for the money or aim for the highest ROIs


I have to disagree here in fact I think that statement is patently ridiculous. I think you should beat yourself for ever uttering something so stupid. It's a shame because there is some useful stuff in your post it is very well written organized. Ultimately though it is paralyzed by this drivel.

Money is the only incentive for trading for two reasons which I will exp on.
1) It's the only reward for trading.
2) It's the only practical way to evaluate the skill of a trader.

In regard to (1) poker blackjack sports betting... most forms of gambling have a much higher entertainment value. There's nothing fun about succesfully predicting/reacting to a currency exchange rate with no monetary reward. Nobody would trade currencies commodoties or stocks if there wasn't a financial incentive. People would play cards watch sports.

I will take more time in discussing (2). First off I am confused at your assesment of not trading for the money when you make a huge point of trading being an acquired skill something I absolutely agree with. Most acquired skills can be evaluated externally - Someone who learns to drive can show competency get a license. A doctor can become a surgeon perform operations. An athlete can excel become a professional etc. etc. These skilsl which can be evaluated also produce "rewarding outcomes". If you have a license you can transport yourself. If you are a surgeon you can help fix people. If you are a great athlete you can do something you love for a living. Trading can be evaluated very simply - by the money brought in by the trader.

Furthermore by trying to be succesful at all these things you have to deal with "psychological issues". Your insight on trading psychology is absurd [I'm not sure it can even be called insight it's so far off] foolish just plain wrong. Running away psychological pitfalls is not the answer to learning becoming proficient at anything - for example everyone is a little apprehensive the first time they drive. A doctor probably craps his pants the first time he takes a scalpel to a real person. Athletes even the best ever are nervous before games. If they tried to avoid these "psychological issues" they wouldn't be succesful.

Fear greed are very real emotions that are critically important in trading because they can cloud your judgement. Unfortunately you were dead wrong when you implied that means they should be avoided because a trader should trive to underst learn to control these emotions not run them.

How you manage to make a good observation of trading as an acquired skill then go on to spout the utter nonsense I quoted is baffling to me.

Here is how perceiving trading as an acquired skill should look:
1) It is an acquired skill it takes time effort to learn.
2) There are tangible evaluation methods.
3) There are "psychological issues" which must not be avoided but understood confronted controlled in order to be succesful.

Another part of your nonsense which borders on verbal diarrhea really bothers me - A content happy human might be characterized as someone who lives that "journey that is never quite reached". That kind of philosophy allows people to live fulfilling lives take things in stride. Many succesful traders also happen to share this sentiment which plays a role in their emotional make up which allows them to be good traders.

However it is laughable to think that kind of subjective evaluation can be applied to trading. A trader isn't evaluated by how he/she internally experiences trading or how the process of trading has enriched his/her life... A trader is evaluated by the money he/she extracts the markets all other parts of a person's life are immaterial when evaluating their proficiency at the acquired skill of trading.

Bottom line: Trade to make money.
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