Of course, every investment is risky. The Forex trader should know the tools of advantageous and careful trading and minimizing losses.

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well, I guess the question is not if it's risky, but how risky is it? I bet most people trade without knowing how risky their system is. Now that's risky! In my experience, if properly researched, you can get a good idea about what the risk is you are taking. I don't mean just the standard money management techniques, about risk per trade, trades open etc.. You can use statistics and monte carlo to try and get a better picture of expectations and worst case risk you are taking. That does not take black swan effects into account of course but you can even take precautions for that kind of thing. In short, there is a way to trade forex with very reasonable risk. However, I find that most people are not prepared to take the profit sacrifice (less % per year), and the time commitment sacrifice to trade that way. What I see on sites is most seem to want over 100% per year. This is quite possible, but then again most eventually end up with nothing. Up to you what kind of trader you want to be. And the biggest risk of all is thinking you are a better trader then most, with less trading education then what you need for any other profession. Sounds logical?

Forex is very risky because Forex is very high liquid and world largest financial market. Without experience not possible to keep good sign in Forex market. When a trader come in Forex market, First time obey the rules but after some days feel greed that is cause of destory. Finally Need confident and control to make money.

Originally posted by leebelisar

 

Originally posted by dianayes

 

It would be risky if you don't know how to use proper risk management. 

 

 

Yup. And for you to use proper risk management, you have to learn it first. Learning is always at the lead.

 

Money management is most important part in Forex market. Becase a good money manger know that how will keep order for future market. Also at present some broker providing PAMM System for weak trader.

Forex is riskier than most investments.

Steep learning curve makes it very hard for most investors to earn anything from it. Infact more than 80% people loose. Only a few manage to win. 

Originally posted by Sasha

Forex is riskier than most investments.

Steep learning curve makes it very hard for most investors to earn anything from it. Infact more than 80% people loose. Only a few manage to win. 

Advertisements make it more risky. You will see many adverts saying "earn $2000 with $20 in a week" etc or "97% win rate guaranteed" etc. Such claims attract newbies and they loose more money by placing high-leverage trades and loosing all of their capital in very short time.

risky depend on how you read the market and how many pips you are looking for , if it's for sure thing maybe can go a long way , but nothing is for sure , better take short term