Frequent guest blogger, Bill Poulos, presents his latest article below which looks deep into a number of major issues within the Forex markets, as well as provides a number of excellent tips for you to use on a daily basis. Please check out Bill's site here, and as always he's excited to read and respond to your comments so let's not let him down.
Recent events have brought the dollar back into focus – both as it continues to slide, and as it made an unusual, event-related rebound last week. Because of that, many traders, my students included asked me for my take on why Forex traders are struggling right now.
I believe there are three reasons that are deeply affecting traders of foreign currencies. They are:
• Overexposure on trades
• Little or no attention to risk management
• Stuck in a black hole cycle of dependency
Let me elaborate: