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Your Online Guide » Forex & Trading » Guide to Forex

[I19]I Dont Want Know Hinder
by Chris M Lee, Chr

This article is more of a nest egg of collated points taken from various investors when asked the question, “What are the secret Forex tips normal investors should know about?” From there, 3 of the most useful answers have been collated and should help anyone gain an extra leverage or a new insight into their investment strategies in the FX market.

Learn the one good rule you should know about even when you have just started to invest in the Forex market, and this is the 80 - 20 rule. This rule does not only apply in Forex but also in all aspects of business and trade, which means that it can be thought as a universal trading principle you need to follow when either starting a business or investing in a commodity.

According to the rule, whatever Forex activity that you are involved in, 20% of your trades should reap 80% of the results. Which means, a small percentage of your trades should reap the largest amounts of profit for you. Do not make the mistake of other Forex traders in the sense that they trade way too much - following an unfounded belief that more presence in the market would mean a greater chance for them to earn a profit. This is more of an urban myth than anything else and should not be followed. The frequency of your trade is not the determinant for success, it is the quality of your trades that are much more important.

Do not make the mistake of diversifying too much; which means letting your portfolio expand naturally without you forcing yourself onto different market perspectives. Stretching yourself out too think can mean the difference between micro managing all your investments to losing control of your money and seeing the losses slowly creep in. If your one investment portfolio is giving you good returns and has high odds on you winning out everytime, you should not dilute this potential just because you feel the need to follow the crowd and diversify. Diversifying is always a good thing, but do not force it. Let it come naturally and when the market opens up and gives you the opportunity, then take it by all means.

Last but not least, you should also take more risks when it comes to the FX market. While many take the conservative view when they are investing, the real way to gain large profits is to get out there and make the decisions that most would not. But of course, you have to back this on founded research and advice from your broker as well. As long as the potential to make money is there, you should mine it. Increase your risk margins and get out there. There are other markets with less risk factors (like property) that will give you the same gains if you are being conservative in the FX market. You are in a market where risk is paid multiple times when the conditions are right. Be greedy when others are fearful and be fearful when others are greedy.


For years I ran into the same problem. I desperately wanted to improve my life but often found it difficult to turn their theory into something I could use every day. There was something missing.

After going through one book after another, buying one "guaranteed" self-help product after another, I finally figured out what was missing. It really wasn't that the information was wrong or necessarily incomplete. I found three things that almost made what I was reading useless.

It's like a financial advisor telling you that you need to save money if you want to retire but not telling you things you can do to save money on a monthly basis.

Almost everything I read was very good at explaining the theory behind the idea or concept but very bad at then showing me what I needed to do.

I love theory but I also need examples, exercises, and step-by-step instructions on how to apply the theory. I bet you'll agree that the majority of people learn best this way as well. Most self-help products fall short in these areas.

Finally, after working my way through all the theoretical information, I almost NEVER found a product or read a book that showed me how to take what I've just read and integrate all the pieces together then USE them in my life on a daily basis.

Let me give you an example. I'll use the concept of the Law of Attraction. I've watched DVDs about it and read many books dealing with the idea. They were all very good at telling me the Law of Attraction simply states that "like attracts like," that whatever you keep in the forefront of your thoughts is what you tend to attract into your life. Powerful information, right? OK, but now what? How can you use that information??

I had other questions like:
- How do I actually use the Law of Attraction?
- What steps are required and in what order?
- How often do I use the information, daily, twice a day, constantly?

I rarely found answers to those questions or had to spend money on several products to get all my questions answered. One source may have a limited method to follow, one might give me a few simple exercises, or more frequently I'd get none of those answers.

Theory without practical application is almost useless. If you don't know how to apply what you've read to your life you might as well not have read the material. If you can't get a good grasp on the material through easy to follow examples, exercises, and instructions, you've wasted your money and more importantly your time. If you can't apply the material to your life on a daily basis, how can you ever change your life?

A good, useful self-help product must be able to answer the following three questions with a resounding Yes!

1. Is there real-world application along with the theory?
2. Are there step-by-step instructions, exercises, and examples?
3. Are the different parts integrated into a system that can be used on a daily basis?

The more no's you have, the faster you should run away from the product!

All the theory in the world is useless unless you can apply it quickly and easily on a regular basis. You've wasted your money, time and sometimes left feeling lost and betrayed if you can't use what you've purchased.

You CAN improve your life, you CAN achieve your goals, you CAN get everything you want in life if you're given the proper tools and shown how to use them. If you can answer the three questions above with a Yes, you can rest easy knowing you've found the right self-help product for you.
Article Source : Pg. 14

About Author
Both Chris M Lee & Jeff Baker are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Chris M Lee has sinced written about articles on various topics from Finances, Forex Review and Online Forex Trading. to claim your Free Forex “Basic Momentum Analysis” report today! Christopher Lee helps thousands of traders learn the proper way to. Chris M Lee's top article generates over 49500 views. to your Favourites.

Jeff Baker has sinced written about articles on various topics from Health, Forex Guide and Health. Jeff Baker is the author of "The ABUNDANCE NOW System: How to Master the Secrets of Lasting Success In Just 20-30 Minutes Per Day". Drop by
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