Well I just had a random question, I don't know if this is a noob question to ask but Unless those numbers are very wrong What I'm really asking is why hasn't everyone heard about this yet?
I know people that do all kinds of things, I means tons of people look into stocks nowadays, but no one seems to be forex trading. Most people "know" about Forex in that they know it exists.
Probably not many people trade in Forex for the same reason not many people trade in stocks, it's risky, people are afraid of risk. Not everyone's the gambling type. They can't tolerate that. Well I for one do not trade forex. I could if I wanted to but In general I stick to stocks.
I also do bonds every now and then as in everything it depends on the situation and where the world is headed or thinks it is. Forex is plain "cash" so to speak. So while your "cash" is sitting there over long periods that's a great time to look at forex if you are aware to the intrinsic risk of leverage. Most get caught with this added hidden risk. The other thing is with forex you are generally forced to leverage your play because in reality 1 pip ain't that much on a single dollar.
You have to understand though, you are always playing forex regardless of what product or market you are in, it's just a bit different.
Stocks also give me more options. I can play the forex by changing to a certain market. It's true liquidity is not the same on forex. Personally I don't trade any stock less than 1. While most are worried about liquidity, it really depends on how much you are looking to make in how long. If you are looking to do million dollar trades then you have to change your time frame personally I use the 1h,15min,5min charts to a higher time frame, or change products.
Depending on how some people trade, some only look at one pair which I believe is wrong since even when you are not in a trade, you are in a trade because you keep cash in a base currency. Forex is also the wild west of trading. It does give it a personal flare but, because of the lack of regulation you have to be not only careful of the market but also your broker who is also your data provider. So there are a lot of different reasons why not to trade forex but, everybody is indirectly trading forex if they want to or not.
Because most people can't handle loses. When I explain to my friends and family that when I am losing I just shut the trade and take a small loss but everyone replies "but you can recover if you wait", well, in simple words, you are smarter than a cocroach, try to explain yourself to a cocroach.
It's possible, just not probable. I doubt it's being done by someone who tries to trade by predicting market direction, though. I was waiting to see how long it would take before someone picked up on that haha!! I was meant to say month!! Not everyone can be a doctor or a lawyer just because the pay off financially speaking it very attractive.
The only difference between that and a forex is that a lot of people are unaware or just simply just won't accept the fact that they'll need to put in same amount of effort and time as they would if they were to become a doctor or a lawyer.
So they try their hand at trading and quickly they realize its not what they thought it would be. And one needs to put in a lot of hard work to gain that green pips and emotions come in.
Some simply can't take it and leave some stil struggle to make it hopefully someday. It's not for everyone just as with certain careers aren't suitable with certain people. You just gotta try to see if it's right for you. It also takes a smart, but driven, person to stick with it. One who can let their emotions go and trade more like a robot. Most people give up because they lose a lot quickly, and the pressure is too much for them to handle. I suffered a huge loss while learning and it was because I let my emotions and stubbornness override my good judgement.
Now I know to always use a stop loss. Set the trade and forget it. My mind rests easier that way. My question is, why is volume so very very low. I've never seen it this bad. I'm bored and it makes me want to overtrade; and i have to smack my hands away from the keyboard LOL. Why doesn't everyone trade Forex?! Am I missing something?
Hmmm I totally agree with you, forex is definitely not for the faint hearted I guess. When you say predicting market direction, what do you mean exactly? I believe people don't trade for a variety of reasons: It's intimidating, takes a lot of time to master, and is very risky.More...