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Re: CAN WE ACTUALLY Making Money in Forex????????

Ogee, Wed Jan 22, 2020 9:28 pm

The OP asks if anyone is making money, in EU and UK and soon to be in Oz brokers are obliged to reveal their retail client winner/loser stats and basically about 75% of retail clients loss money with any provider.

Also in the OP is a chart that basically shows why that is. It's from the dailyfx site and looks at retail net short/long positions placed on a price chart, they have been doing this for over 10 years and currently use IG broker data, before they used FXCM.

Not sure what the chart is or when but it doesn't matter, nothing has changed with regards to retail client positioning in 10 years.
I've drawn the point on the left hand side of the chart where price starts to fall which crosses the point where retail clients start to go long, retail stay net long though the whole price drop (date not shown but probably a month or two). Then, on the right hand side of the chart as price starts to rise retail decides it's time to go net short.

You can see why this was developed as a contrarian indicator, whatever the majority of retail clients are doing do the opposite.

Why do retail do this, because they are forever trying to predict turning points in the market and forever getting it wrong.

Best advice, learn to follow price action rather than trying to second guess where the turning points might be.
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