One of the things that gets repeated ad nauseam is the statistic that 85%, 90% or 95% of all aspiring forex traders fail. The number seems variable, the only requirement perhaps is that it be big enough to scare newbies and make successful traders feel smug.
But what does ‘fail’ actually mean in this context? I’ve never seen any definition.
Is it blown accounts?
What about people who close their accounts for less than they started with?
A lot of people, I think, get drawn into forex by believing all the hype they read and the promise of easy profits. Someone like this may well soon realise that trading is not for them or it requires more time than they have to spend. Are they failures? Perhaps, or more likely victims. Certainly getting out is a rational decision for them and they haven’t failed in the sense of not being capable of trading just unwilling.
What about a trader who over and over loses 90% of the account and repeatedly tops it back up again so they are really haemorrhaging money? I bet they don’t show up as a fail though in most people’s book they would be.
So, does anybody really KNOW what the true definition is and where it comes from anyhow?
But what does ‘fail’ actually mean in this context? I’ve never seen any definition.
Is it blown accounts?
What about people who close their accounts for less than they started with?
A lot of people, I think, get drawn into forex by believing all the hype they read and the promise of easy profits. Someone like this may well soon realise that trading is not for them or it requires more time than they have to spend. Are they failures? Perhaps, or more likely victims. Certainly getting out is a rational decision for them and they haven’t failed in the sense of not being capable of trading just unwilling.
What about a trader who over and over loses 90% of the account and repeatedly tops it back up again so they are really haemorrhaging money? I bet they don’t show up as a fail though in most people’s book they would be.
So, does anybody really KNOW what the true definition is and where it comes from anyhow?
Too tired to argue. Too old to care.