Why do Forex Traders Lose Money

[juliano]

most traders forex lose because they do not have the experience that will enable them to good trading ...most of those who lose in the market they are beginner who do not know a lot about forex ..it is estimated that 95% of forex traders are losers and the remaining small percentage are the only who are able to succeed and access to earnings

[Khatoon]

I think the main causes of loss for newbies are
1. Lack of market knowledge and experience ( also includes less or no training at all)
2. lack of emotional control
3. the inability to use funds efficiently i.e Money Management Skills.
There might be other causes also but to me the main causes are these as i faced losses due to above mentioned reasons.

[rizal83]

many traders have lost their money in forex trading, because many of those who still do not have very good skills in doing trades so they still do not understand how to be able to get benefits and also how to be able to avoid losses that would occur in forex trading, but if they learn and practice well in advance before starting forex trading, then they will not experience a loss, because by having good skills will greatly help them to be able to generate profits and avoid losses from forex trading

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many traders have lost their money in forex trading, because many of those who still do not have very good skills in doing trades so they still do not understand how to be able to get benefits and also how to be able to avoid losses that would occur in forex trading, but if they learn and practice well in advance before starting forex trading, then they will not experience a loss, because by having good skills will greatly help them to be able to generate profits and avoid losses from forex trading

[ayushsrk]

Traders loss for many reasons, but the most common of all is because of wrong trading analysis.

Actually the major reason for the traders to lose here in the trade market is not wrong trade analysis,in fact there are far too many traders that donot even know how to make the analysis here in the trades.The major reason actually to why the traders lose here in their trades is because of the fact that these traders are not trying to understand the trade market prior to joining in here.

But had the traders tried harder to understand the trades better then it would be almost certain for these traders to be able to gain maximum profits from the trades.For all the traders the one major point to always bear in mind is to at least proper analyze and read the market but this can only be done when the traders have understood the market well.

[fxtrader]

Losing money in Forex trading is same voice of the performing every Forex dealer losses money in Forex trading. and one of the reason why Forex trader's exit money in Forex trading due mainly to the saneness of demand of enough noises on Forex trading and practicing in present chronicle this is are any of of the cogitate why Forex monger's casualty money.

[aditek]

Many Investors reduce cash in Currency dealing business.It is real.Because many investors start dealing without information. Trading without encounter is one of the most important reason behind failing.Some people reduce cash for avarice.they investor over and over and get loss. We can generate income from Currency dealing by did not of exercise.

[Decub]

Forex, just like any other business investment is not a win win investment. It comes with its own losses as well but the rate of losses is directly proportional to your experiences/strategies and vice versa.

[farhanbd]

well,there is lots of reasons to lose money.First of all you dont follow money management.there are also one reason is that you dont have control over your phycology.When you lose money you give big size lots.we dont follow any strategy or we dont have skilled enough for forex.

[ayushsrk]

most traders forex lose because they do not have the experience that will enable them to good trading

It is not actually experience that helps the traders to trade well here in the trade market rather it is the market understanding the trader himself has when he is trading that makes him a better trader.The major thing to always consider when trying to trade here in the trade market is always a proper analysis and understanding of the market and experience alone can not bring current market understanding to the traders.

Even for the experienced traders it is essential to analyze the present market situation to make maximum output from the trades that the trader is planning to carry on.For any trader it is always very very important to understand the fact that it is not that easy afterall to be trading here ,a trader always needs to at least understand the market properly first and then trade or else the trends of the market will turn up against the traders.

[bidyut]

When a trader trade with emotions and always afraid to trade at that situation he never able to earn instead only face loss. Also due to lack of experience a trader may lose money. If we look at some traders they never try to learn and they don't like to trade in demo account. And at last lose money due to bad trades. Without proper practice it is not easy for a trader to know the actual behaviour of the market. Also a trader may not follow news events, at this situation market changes their track and sometimes it get reversed due to high impact news. We should be very careful before opening an order. One small mistake may leads to huge loss.

[Swayam]

Generally traders want to earn money quickly.. so they start trading in Forex without thinking or checking the trend of market. By this they go for some some wrong decision and loose their money. A small mistake can also cause them loose their money. After loosing, to recover that amount they again go for some big trades which may also cause them to loose money.

[Dejavu]

Traders lose money because they don't have good money management,good risk management and analytical skill.They trade with high lot size,and without analysing market well,finally they suffer losses many times.If traders want to gain from forex trading,they should develop good money management,risk management and learn analysis.

[princewahaj]

It is usually known that most Forex dealing traders are unsuccessful.Actually, it is estimated that 65% of Forex dealing decrease money and end up providing up.So I wanna to ask that what objective behind it? Please talk about your experience about it.Show respect for the markets.

Not only 65%, 75% traders keep getting failure in their trading career, it is because they aren't aware about Forex Trading properly or maybe they have a plan to get-quick-rich overnight which can produce greediness in our personality, Greediness is a bad factor with which most traders lose their earned profits also which they made with their efforts. In my view, it is the main reason.

[Akshay]

Wrong analysis of the market is the major reason that caused most of the trader to loose their money.Also detecting wrong entry and the exit point are also the reason of loss.Lack of money management and risk management , not following the rules and principles of the forex will always give you loss in your trading.

[ahmed kabir]

There so many cause losing there money in forex trading first one is that greed and emotion.not only that most of the trader do not make any analysis about fores market. making profit is not so easy in Forex market so we have to maintain Forex rules and regulation after then we can do make profit in the Forex market.losing money is really painful matter in forex trading.