Questions about Holy grail have been asked by traders for many decades. The truth is, many have different thoughts.
- Some People call a system holy grail if it makes 100 percent win every time with no single loss
- Others call a system holy grail if it makes MORE winning than loss every time
Well, let’s talk about each of these views.
For Some – A System is Holy Grail If it Makes 100% Win Every Time With No Losses
Very funny, how is it possible to make money in trading without any loss?
Starting from your first order, a spread will be removed and if you close immediately, is it a loss or profit without the tick movement?
That is definitely a loss.
Even high frequency traders make few losses but make endless wins to cover their small losses.
Forex Trading is like a business where you will need to risk, invest, manage, lose and gain.
So, why will anyone say Forex will always make you profits and no losses?
The richest man in the world now, is Jeff Bezzos (at the time of writing this article), If you are investing in the shares of Amazon, are you saying there won’t be ups and downs? Think about it.
Have you forgotten Big banks that have a lot of money in this Business?
Think of this, if you have 69 percent of shares in a stock, don’t forget you are the main controller of the share, when you
sell, the stock falls and when you buy, the market moves up.
Check this to understand a scene extracted from a film tiled: A MAN NAMED GOD
So why should a retail trader say he will be 100 percent perfect?
Think about news trading, do you think some traders are not seeing the numbers before you do?
Interesting business, some people have got the data before you do, so why wasting your time interpreting?
That is the reason some brokers spike the market up and down before this economic movement to prevent retails traders from making profitable trades trading news.
Think about this again, while 99 percent of traders make use of internet connection to place trades or check economic data, what of the remaining 1 percent making use of high speed connections.
Check this out to understand more…
So, as a trader, never expect that you will always win.
The market does what it wants to do and a tried and true strategy, no matter how well it tests out, will still give you some losses.
Also Read: What are Forex trading sessions?
Let’s talk about the second school of thought:
Others Call a System a Holy Grail If it Makes More Winning Trades than Losses.
Yea, but think about these questions –
- Can you have more wins than losses? Of course.
- Can you have more wins than losses and still be dollar negative? Absolutely Possible.
That’s because the Holy Grail lies in how well you manage your money.
The secret of successful Forex traders is that they manage their losses. They know what they stand to lose for every trade they take.
That takes the stress out of trading. There are no surprises if you know what is at stake each time you enter a trade.
That is the reason I like Trading System that comes with a risk percentage on your fund like Scalper Rider.
The reality is; while you can make real money; I mean endless pips, you can also make unending losses.
It all depends on your trading philosophy, believe, rules, choices, thoughts, fears, attitudes, doubts, to any trading strategy.
A trader may use only an indicator to make pips and when you try the same indicator you fail.
So, the bottom line is,ing systems sometimes, it is about you.]
Sometimes, it’s not the trading system, it’s all about you.
Did you find this piece helpful? Let’s have your comments below.