We should remember that success of the workers in financial institutions depends on how many people they attract into the business of trading and how many transactions these clients make. They have direct financial interest therefore their opinions can be biased. Some of the widely known opinions are:
In Forex traders burn out much quicker than in stock market.
There are trading systems that allow anyone to become a millionaire quickly.
Let's consider these opinions more closely. I couldn't find any reliable statistical data about participants in Forex and stock market that would have the following parameters.
1. The number of traders who start trading. Percentage of traders who continue to trade after one, two and tree years. How successful their trading is.
2. Relationship between beginning balance of their account and ending balance.
3. Relationship between method of trading and success rate.
There is no reliable statistics on these parameters. Only opinions and estimated guesses. The reason for the absence of such statistical data is understandable. It's a commercial secret. Nevertheless I can confidently say that there is no dramatic difference between trading Forex and trading stocks. There is no difference in opportunities to earn money as well to lose money in those markets. There is no or very little difference between them because in financial market you trade risks and probabilities not currencies, stocks and futures. The difference can be only in the rules of game, methods of execution of transactions, and liquidity of the market.
Now let's talk about magical trading systems that allow you quickly and safely become a millionaire. They may say the system is a work of genius and sell it to your for some amount of money. Do you believe in it? It's true that you can't work in market without a system. Therefore any system has a right to exist. I don't believe in magical systems or universal machine that will make you money while you sleep.
You can make money with any system if they are based on mathematics, psychology and discipline. It's not important what the system uses. It can use good old indicators like RSI or MACD. Or they may be built on some new indicators. You even can base your trading system on the number of blond women you meet on your way to office. But if you don't have a discipline to implement it consistently no system will help you.
There are many more different opinions about Forex and stock market. The one common thing is that you can make money in any market. The only thing you need is to make well thought decisions and have a discipline to follow through with them.
Author Resource:-
Forex Brotherhood Club brings together elite like minded currency traders. New members to ForexBrotherhood are welcome to join the currency trader insider club.
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