What are the odds of becoming successful in Forex trading with very little math knowledge?… To be a success, you need to have an edge (i.e. a viable trading method) and a money management approach suitable for the aforementioned edge.
You don’t need much maths for the former; you just need to know when to enter and when to get out. But if you dont have command of elementary fractions (at least), you may have problems with the latter (i.e money management and position sizing).
You don’t need to be good at math to succeed in forex trading. The most complicated math you will end up doing is basic addition and subtraction, in most cases. Broker platforms tend to handle more complex equations for you- such as price per pip for position sizing. Don’t let bad math skills keep you from exploring what forex has to offer you.
Forex trading does favor some particular skill-sets. A trader should have the capacity to learn a trading strategy.
That requires some analytical thinking and self-discipline to not only understand it but embark on your own research if you’re not understanding the concepts presented. Strategies can run the gamut from extremely detailed and complicated to fairly general.
That doesn’t mean you need to have an in-depth understanding of economics and finance either.
Those principles can be important depending on what strategy you’re trying to learn.
For example, if you hold positions open for extended periods of time then you’re going to want to familiarize yourself with fundamental analysis and what goes on in the economic sector.
However, scalpers only hold their positions open for minutes at a time general. They typically only concern themselves with immediate price movements because that’s what drives their profit. Sentiment in the weekly or monthly charts really doesn’t have any weight on a scalper’s trading.
The single most important trait for a would-be forex trader is TENACITY.
You have to be able to face your losses, learn from them, pick up the pieces, and keep moving forward. You will undoubtedly screw up and make bad decisions- everyone does. It’s just part of the learning experience.
Even after you think you have it all under control you’ll still periodically make mistakes that will cost you money.
Can you handle it?…
Can you pick yourself back up and try again?….
If so, you’ll SUCCEED !!!
I’m not good friends with too many other traders; but I do know of one guy who does it successfully with only a basic high school education. His math background is just basic algebra.