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Forex Education - Why Advancements In Computer Technology Have Not Created More Winning Traders




Today everyone talks about Forex robots and Forex Expert Advisors and how they can help you beat the market. The reality however is that despite all the advances we have seen in computer technology, the ratio of winners to losers is the same as it was 100 years ago - Why?





The answer is simple, Forex markets are not based on mathematics, there a market of probabilities and odds. If you apply complex mathematics to Forex markets it will not increase your profitability.





Most traders think that a junk robot or sure fire trading system which claims it can predict the future, will help them win but all they get when they try them is a wipe out of equity.





Currency price movement is the result of human judgement and humans are creatures of emotion, NOT of logic. This means that prices can and do go anywhere and you are never certain where! You can make money from this movement but you have to understand, you are trading the odds and in an odds based market, simple systems are more likely to win.





Simple systems work best in Forex trading, because they are more robust and have fewer elements to break, than more complex ones. Many of the best trading systems consist of just a few rules, they worked well 20 or 30 years ago and they still work today. I am a big fan of the free Forex trading system the 4 Week Rule, which only has one rule, has made me money for 25 years and still makes money today.





While technology advances help in many areas of life, they don't help in Forex trading. Forex trading success today, depends on what it always has - A simple trading system applied with confidence and discipline.


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