If you want to enjoy currency trading success and win at FX trading long term you can and this article will show you why, you can succeed and how to do achieve success. Lets look at how you can make big currency profits regardless of your age or educational background.

First, I am going to cover a well known experiment which was conducted by Richard Dennis, to prove that anyone has the potential to become a successful currency trader.

The Proof Anyone Can Win at FX Trading

Dennis set out to prove that everything about successful currency trading could be learned and he gathered a group of people with no previous experience of trading together to prove his point and they were a diverse group:

An actor, a kid fresh from high school, a clerk, a lady auditor, a security guard and a couple of professional card players to name but a few and he set about teaching them to trade in just two weeks. After they had learned the trading system, he set them up with trading accounts and the rest is history – they made $200 million dollars in just 4 years and went on to become some of the most successful traders of all time.

The point had been proved, anyone can learn to trade and if you have the right currency trading education and the right attitude, you can win too.

Why 95% of Traders Lose Money

The fact remains though that 95% of traders lose money - so FX trading must be hard? This is simply not true, most traders who trade FX either, learn currency trading the wrong way, or they have the wrong mindset.

There is a huge group of traders, who buy junk Forex robots and think they will get rich with no effort and they lose and on the other hand, there is a group of traders who work to hard; these traders think that intelligence and hard work guarantees success but this is not true, making money is the only criteria, you are judged on.

By far the biggest cause of losses is lack of discipline. Discipline is the ability to follow a set trading plan and stay on course, while keeping losses small and having the courage to lock into and hold, the big long term trends. Most traders simply cannot do this – they run losses, over ride their system and trade to much, in an attempt to get losses back and when they get a winning trade, their so excited they cut it early. These traders trade to much and take low odds trades, run losses and cut profits - when they really should of course be cutting losses and running profits and this leads to an equity wipe out.

There is no perfect currency trading system, so if you want to be right all the time – Don't trade FX!

The Choice You Need to Make to Enjoy Currency Trading Success

The sensible trader, is humble and takes his losses, he knows the market is always right and he can only be wrong. The winning trader doesn't take losses personally, he knows that if he takes his losses and sticks with his plan, the market will reward him with some great trades he can run for bi profits.

Going back to the experiment Richard Dennis conducted, all the traders said learning the system was easy, the harder part for them was staying on course but Dennis drilled into them, that to be disciplined was the only way to win and for following his advice, they were well rewarded.

If you want to enjoy currency trading success, keep in mind that you only need a simple system and anyone can learn one of those and the good news is getting the right mindset is a choice and its a choice, anyone can make if they want too. If you understand this article, you now know what you need to do to win at FX trading – good luck

The 4 Week Rule is simple one rule system and the trading signal is generated in the following way:

Buy a currency when it breaks to a new 4 week high and hold the position until a new 4 week low is hit and liquidate the long and go short. After this is done, you keep taking positions as new 4 week highs and lows are hit and always keep an open position, in the currency pair your trading.

The 4 Week Rule and Generating the Trading Signal

This system is simple but its simplicity doesn't mean it doesn't make profits, it makes great long term profits. Always keep in mind that simple Forex trading systems work better than complicated ones, because they are more robust and have fewer elements to break. Forex trading is an odds market, there is no science to market movement or some hidden order, your simply playing the odds and when doing this, the 4 Week Rule works very well and is based on timeless logic which will never go out of date.

Logic Behind the 4 Week Rule

If you look at any currency, you will see it trades for long periods up or down and these trends can last for weeks, months or in some instances years. If you look closely at any currency trading chart you will also see that all big trends start and continue by breaking to new market highs or lows. As long as markets trend the logic of the 4 Week Rule will mean it's effective and in a free market, you will always get trends.

Discipline and the 4 Week Rule

If you want to follow the 4 Week Rule, you need to be disciplined, as it's not fussy about entry in terms of its trading signal and at the end of the trend, it will give a good bit of profit back but think about it this way – You don't know when a trend will end anyway and if you caught 50% of every major trend, you would be very rich. If you look over the long term and ride out short term draw down, you will find the system will deliver you great long term Forex profits.

A FREE Trading System Anyone Can Use

The 4 Week Rule is profitable and can be operated in less than 30 minutes a day and furthermore, you don't even need a computer to do the calculation, you can do it in your head. If you use this trading system you will be in very good company, because even great traders like Richard Dennis were fans and if it's good enough for him, its good enough for you!

This simple, currency trading system makes money and if you use it in your currency trading strategy, you will have something for free which makes money and while Richard Donchian has passed away, we should all be grateful for this highly effective currency trading tool for profit. Check it out, you have everything to gain and nothing to lose by doing so.