Why Forex strategies don't work.

It would seem that trading Forex is as simple as it gets: learn how to use the trading terminal, choose a suitable strategy, and just open trades, and the profits will flow into your account.

But while mastering the trading terminal usually comes easily, using strategies raises a host of questions. Most of them simply refuse to generate profit, even though the trader meticulously follows all the recommendations.

Why do Forex strategies no longer work? Let's try to address this question below.

1. Trading instrument - Most strategies are written for a specific currency pair, and not all traders pay attention to this.

2. Volatility of the situation - the market is constantly changing, and a strategy developed several years or more ago won't always work in the current situation. What to do in this case? Use classic Forex strategies .

3. Incorrect application - Very often, a strategy is recommended for a specific time of day or time frame ; it's easy to imagine the consequences of violating these recommendations.

4. Ignoring the rules - Most novice traders consider themselves trading gurus and try to change the existing strategy conditions. It's easy to imagine the consequences of, for example, changing leverage in a long-term strategy; other violations can have equally dire consequences.

5. There is no Holy Grail - even if you've found a truly working strategy, that doesn't mean it will yield 100% successful trades. To reduce losses, you need to use proper money management and resist the urge to gamble.

Don't immediately blame the author of your strategy for your failure; first check that all the conditions are met and that you're doing everything correctly, and only then change your trading strategy.