Statistics of the Forex marketv

Statistics of the Forex marketv

Statistics of the Forex marketv

Successful traders are 8-10 percent of the total number of those who try to make their fortune trading financial assets. This is the Forex statistics. However, it is worth noting that these figures are only General statistics. It can be found on the website of almost any company offering services for access to Forex.

In fact, these numbers are not constant. They may vary depending on the situation. The fact is that some of those who tried and did not achieve anything (and were, respectively, in the same 90 percent) can try to earn again. And if they manage to do this, they will enter 8-10 percent. And in this case, the Forex statistics will change.

In this article, we will try to understand how the percentage of successful transactions in the Forex market is determined, and in General, why this indicator is needed. Back to Forex brokers. One company, Forex statistics can have 5 percent of successful traders.

Another company is showing better results. It will have those who earn 8 percent. For a third company, the percentage of successful Forex traders can reach 10. As you can see, the data is really different. Therefore, the statistics of the Forex market can also be different.

What to do in this situation? Is it really possible to calculate the percentage of traders who succeed, or is it all a myth? In fact, there are a lot of options for how to do this. One of the American traders and economists Taleb offered his own methodology.

Such statistics of the Forex market are calculated taking into account the time factor. In other words, the method is based on calculating the percentage of successful traders depending on how long they have been trading.
Example of working with the Taleb method

Let's say we have Forex market statistics from one trader. The defining period is one year. The probability that this trader will either increase or decrease their Deposit is 50/50.

If we start from these initial data, then out of 10,000 people who came to trading in 5 years, there will be only 313 traders who will be successful. Accordingly, we will have this figure equal to three percent.

Working with this method, you can easily calculate the percentage of successful traders at the end of the year or even several months.
Why are there so few successful traders?

Forex trading statistics

As you can see, Forex statistics are relentless. There are very few people who earn regularly. After all, even if we take two different traders, in exactly the same circumstances, they can show opposite results.

As practice and Forex statistics show, successful traders are primarily those who have a slightly different mindset. Often, these people are able to predict the situation and make accurate forecasts.

In addition, the statistics of winning in Forex also show that successful speculators know how to manage capital and risks. Even if we take two traders with the same number of profitable and unprofitable trades and the same initial Deposit, it is far from certain that their result will be the same.

The problem is that those who do not achieve anything in trading, usually assign a secondary importance to capital and risk management. Many newcomers mistakenly believe that a successful trader is a large number of profitable trades and a meager number of unprofitable ones.

But the Forex market is good because even if the ratio of profitable and unprofitable trades is about the same, only through capital and risk management can you achieve a positive result.

Given example. Let's say a trader has opened ten trades. Of these, five are unprofitable and five are profitable. At first glance, its losses will be approximately equal to the income. But there is one important " but!". Let's assume that according to the system, the trader observes the risk-to-profit ratio as 1 to 3.

Let's translate this into points. Let's assume that the trader risks 20 points, and the profit targets are at a distance of 60 points. Accordingly, at the end of 10 trades, the trader loses 100 points, and earns 150.

The example is very simple, but it is clear. With the same amount of profits and losses, Forex trading statistics show completely different results!

Why even know all this information? First of all, it is necessary to understand that every trader can move from the group of those who lose to the group of those who earn.

This indicator is really dynamic. Success in trading is a combination of various aspects, including the ability to predict, follow the rules of money and risk management, and control emotions.

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