However almost all of the mistakes these novice traders make are avoidable and you may find them enclosed. The list of mistakes is in no definite order of importance, make any of them and you’ll lose. Trusting a Currency exchange Robot or Expert counsellor Most traders get taken in by the hype – pay 2 hundred bucks, get revenue for life and earn cash with little effort with an automatic trading method. You wont be amazed to find out these systems do not work. The facts aren’t significant, its what folks think about them that counts, never trade breaking reports. Making an attempt to foretell the Markets ahead Prophecy is hoping or making a guess and that wont get you far in currency trading. Some have surmised that it essentially was first known to the ancient mathematicians of the Indus Valley region. Now, the Fibonacci Sequence has many fascinating properties–not the least being that it was first discovered by Leonardo when he was trying to work out how many pairs of rabbits he might have by the end of one years time if he started off breeding only one young pair ( barring any accidents, rabbits do not die in just one year, so he’d have all the rabbits that were bred, and the 2 he began with, at the end of one year ). Forex Confidante.

This quality of practical application has found its way into the sector of currency trading ( and other market trading ). Fibonacci Retracement is a technical trading tool for forecasting the chance a given monetary assets price will retrace by a big amount and, then, find support or come up against resistance at certain key Fibonacci levels before then moving once again in the first direction it took before the retracement. Curve Fitting a System The best systems are straightforward but most beginner traders assume the opposite is right.

This is named curve fitting and it doesn’t work. If you cant execute your trading programme with discipline, you do not have one. The above mistakes are straightforward to avoid, so take care you avoid them or you’ll join the 95% of losers.