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Practical reasons why traders fail in the market

So far you would have heard that traders fail, but do you know why? Then again, of course, you would know why! But, are there practical reasons? Do you think the reasons you have learned are practical enough? Well, it is questionable. So, in this article, you would find out a few reasons why traders fail. Actually, trading is available for everyone, but do all the traders succeed trading Forex? Why do some traders fail? What makes them lose? Why can’t they generate income like professional traders? In fact, there are traders who make a living from trading. If so, why can’t some of the naïve traders trade part-time, at least? So, if you think deeper you would understand that it is not the faults of traders rather it is the fault of every individual who loses. So, if you are losing you should look for the reason why. You should dig in deep to find the reason for your loss. Most naïve traders who lose the market don’t do this. They just think it is the market’s faults. They try to blame the market and shrug off their own mistake. Who is at a loss? Is it the market? Or is it you? So it shrugging off wouldn’t help you to succeed in trading. Focus on these practical reasons that we have mentioned.

Most traders want to become rich within a short period of time. They know they have access to leverage trading account and this will allow them to open big lot size trade. Things might work for a few trades but the end result is catastrophic. You must be prepared to lose trades all the time. If you take things for granted trading is not the right profession for you. In fact, experienced traders can’t say for sure which trade will hit the potential take profit level. Try to use the simple rule of risk-reward ratio to deal with your losing trades. Never trade the market when you are not comfortable with the risk factors of a trade.

If the market is speaking, you must not turn away

This is where the first mistake happens. The naïve traders are not ready to listen to the market when the market speaks. Even if they read thousands of Forex tips, they don’t learn! They still turn away when the market is speaking. But on the contrary, the experts do listen to the market even if they don’t like what they are hearing. They would prefer to trade the market but not against the market noise. Actually, naïve traders should understand that the market noise is really important if a trader wants to make a decision. If you make trading decisions without listening to the market it would obviously go wrong. Your decisions wouldn’t be accurate. You would make losses. So, why should you face these aftereffects? Rather you could simply focus on the market. You should learn to listen to the market no matter what. This is one of the practical reasons we found among naïve traders.

If you don’t like it, you should stop doing it

Most naïve traders fail at this. Even if they don’t enjoy trading they keep on doing it. Even if they are bored, they keep trading. Actually, this is not a healthy behavior. But it is rare that people don’t like Forex. If they don’t like Forex it means they have not learned the market properly. If someone knows Forex, they wouldn’t dislike it.

If you prefer success, you should be practical

You may hate losses but it is just a dream to find ONLY profits in trading. The Forex market usually deals both losses and profits. You would not find success only because you prefer. You should work for it. You should try your level best to reduce the losses while focusing on increasing the profits. So, don’t have unreachable dreams!