Successful currency trading requires a Forex trading edge or two. There are no certainties in trading, but there are ways to swing the Forex odds in your favor.
Most new traders ignore the importance of probability with respect to their trading. Professional traders know it's vital to their success. No "system" works 100% of the time and your trades need to be managed accordingly.
There is no such thing as a "perfect" trade setup. The biggest part of your Forex trading edge comes from your ability to assign a probability number for your pending trade, which can be based upon how many of your "signals" are showing green lights.
If your setup requires 5 conditions to exist and only three are present, your likelihood of success is reduced to 60%. This doesn't mean, of course, that the presence of all 5 would guarantee profits. There is no black and white here. The best systems in the world still have losing trades.
Know Your Edges and When to Use Them
A major trading edge that you have is knowing your system is not perfect. At the casino, your bet is on the table to stay. With your trading, you have the option to reduce or even withdraw your bet should things start to go against you. Use this edge wisely.
