So here is my own story. I've been trading markets for many decades now, mainly stocks. I came to Currency Market trading. In that time I have lost money. I have taken myself out of this market and, because of my brokers rules, had my account closed. This isn't because I hated Currency Market and wanted to quit, but because I will be traveling for the next two months and don't want my money stashed away in an online account. I will return to trading, but I'm not so sure I will come back to Currency Market.

This is partly because I have a theory that it could actually be more difficult to exchange the currency market compared to stocks. Possibly harder is not the word. I will say it like this. There will not be a this currency market. No currency will acquire as terminal or value indefinetely as stocks such as BRKA. In that idea is why I find myself questioning if I really want to continue trading Currency Market.

My theory of Currency Market being harder/different than stocks is based on the idea that currencies have a happy medium. The pound can not raise in value indefinetely from the yen. The authorities and banks wouldn't permit it. From that I will say that currencies are more likely to reverse direction based on that premise. While stock industries can be correlated that the majority will rise with news and fall with news together, they are independant of one another. When trading competing stocks such as APPL and MSFT, should they both release very good news they will rise. They don't need to be in almost any equilibrium and when APPL rises, MSFT can rise even though they're competing companies. If MSFT is worth $400 or $50 a share APPL does not care. The connection between two stocks isn't as direct as that between trading currencies against another. This sounds like a comment since Currency Market inherently involves trading currencies against one another.

Proponents of Currency Market attempt to sell Currency Market by saying it is great because instead of having to scan 10,000 stocks; you just have to exchange 10 currencies. Really you just have to exchange 3-5 currencies because you're just hedging or doubling your risk without knowing it. I see this as an issue for two reasons. The first is that while we might not need to scan 10,000 stocks, we do need to know how to exchange every environment. When studying 10,000 stocks exactly what exactly are you doing? You are scanning to your trading scenerio that suits you. Having thousands of stocks to scan through it is likely you'll find a minumum of one play that is good. When you just have a couple of currency pairs to trade you're stuck with what you have got. You have to understand how to trade ranging markets, trending, and also the rest of the scenerios between. I really don't find that very attractive.

The next reason why I find having just a couple of currencies to be a issue is again about pairs being connected. Even if you simply exchange gbp/usd; it might still be unwise not to know what is currently going on with all the yen. Hypothetical scenario - The yen increases interest rates and because is one of those large carry trades, the pound drops in the majority of it's pairs. You were and you're screwed not because of news out of the US or britain, but because of the authorities. I say that from simple correlations such as this that each different currency will always have a hand in your failure or success even if you only exchange one pair.

To get back to one of my earlier points about currencies being at a happy medium, I will say that because of this, one needs to read indiors differently . currencies. In the stock market if RSI crosses 50 from under, it's a strong indiion that momentum is north. That is true with currencies, but is it true? (My attempt at a Yogism) Should I believe that currencies have a happy medium of equilibrium, then the RSI crossing 50 from under in a currency is great, but maybe not a fantastic thing since the currency is more likely to reverse to balance the 2 currencies. There is more of a push/pull acting on a currency to keep it balanced. By saying, I will attempt to put it only , I would anticipate an MA cross egy more with stocks than I would from the currency market. I believe stocks are more inclined to increase and trending than currencies which I now believe are inclined to undo to balance themselves.

I feel all of these add up to a terribly different trading environment that likely is not ideal for the casual investor. All of that is then multiplied when you bring leverage into the match. It's my new view that leverage is pointless and useless. If Currency Market excites you because of the profit potential presented by leverage, then you're already using it incorrectly. It is a tool to enable you to have the ability to play at the market because international bank trading demands a regular; one regular lot. I view leverage today as I view martingale trading. To survive you need to use a modest amount of your balance to use it. At that point it is not worth it or it's too dangerous. With no leverage in the stock market I feel no danger of having 100% of my account at play because I have diversified the balance along with the trades are situations I feel confident about playing.

After it all sounds like I've already made my decision to depart Currency Market. I likely have. I figured I would throw this out there for other people to give their opinions on. Are my assumptions about Currency Market correct or not?

The greatest question is, is everybody appropriate to trade Currency Market? A lot of people come to these forums looking about the best way to trade for systems. Maybe some people aren't suited to trade Currency Market though. Folks blow through account after account some days. Because I will ask this question,'are some people not suited for Currency Market,' then there have to be people that it just isn't for. Are the things I above sufficient to say I likely will not make it in Currency Market even if I master some of the most popular systems such as the thread? I'll be looking forward to the discussion until I depart for my trip. TIA. Matt