Who controls the markets? If you are getting involved in Forex Trading you may be asking yourself this very same question. It depends on who you ask on what answer you will receive. If you ask a professional trader they will tell you one thing or a newbie trader will tell you what somebody else told them or the first thing they saw on the internet.
Why do I say that? Because that is what I did…But I have done my research and will give my opinion on what I have come up. Also talk to a bank guy they will tell you something completely different as well.
So who exactly controls the Forex Market? This isn’t an easy answer since it is just like dealing with the elephant in the room. No one person or family controls the markets just to put the conspiracy theorists to bed. The banks still do control most all the market they are the power players when they want to make a move they make it happen. Now with the Forex Market being such a big market (around 5.3 trillion) it is tougher for them to move it by themselves.
Now that let the cat out of the hat and you now know that Forex is controlled by the people that hold your money you should run for the hills right?
Absolutely not. What happens when somebody has done something for many years the same way? They become predictable. I am not saying that history in forex always repeated itself I am just saying that it usually does. People are predictable we all know that.
When getting involved in Forex it is better to know this in the beginning as I did not. I got into Forex and started winning right away and thought I was going to be unstoppable. Then the markets changed and I started losing trades then I started revenge trading before I knew it had lost 40% of my account that I had built up. I had still made money but it was a reality check. I had to change something and it was mostly my head game.
Once you know who the players are you can just ride the waves. I mean you can try to swim against them but you won’t last long and there is no need too.
I trade two different ways I trade reversals and trends then I just stack my confirmations based on that and look for a precise entry. As soon as the tide changes and that wave starts moving in the opposite direction I am out and on to the next trade.
Central Banking: Where The Money Is And Made
One of the biggest things in Forex to remember when starting out especially when live is to not trade the news! Don’t trade around what a lot of people call red folders at least. That will save you a ton of money.
Banks don’t manipulate the market as much as they used to as they were fined for rigging the market but the FTC and SEC put a lot of barriers in place to keep them from really messing with things.
Probably around 90% of the market involves big players or non-retail traders. But that doesn’t mean they move 90% of the market in one direction they are all out to make money for themselves. This is why retail traders like you and me will never make a dent even if we all took the same trade at the same time. Okay if we all did that of course there would be some movement.
So they can move the markets and do their best to make their money our job is to predict or in the New Paradigm trading that I use react to price for example after it reaches a supply and demand area.
You shouldn’t let this information hold you back from trading the forex each person can make money and is in a way against everyone else trading forex. So the odds are in your favor if you learn how to trade and use proper risk management. As I always state trading honestly isn’t the hard part it is the head game that happens behind the scenes. You absolutely need to get your head right. Especially if you are trying to do this all on your own.
It gets lonely sometimes trading and it can be tough to keep yourself in check. This is one of the reasons I joined a community like IML that yes is a paid educational platform but well worth the support and feedback you get back. Take for example one of the facebook groups I involved with that trades exclusively the new paradigm. We posts our trades on there not to brag about wins or get pity about losses but to get honest feedback on what we are doing correctly.
So I would suggest you look to get into a free facebook group to start you can join the ones I have that help a great deal by going to HERE. This way you can get a feel for if you like forex and possibly connect with people in the same scenario as yourself.
Where else can you say I am going to take a look at this job, not going to spend a dime, see if I can make enough money doing it, and if I don’t like it I have lost nothing but sometime.
You can trade forex 100% using a demo account and find a strategy you like to test out until you feel you are ready to go live. That’s why with anyone who asks me about joining IML (iMarketsLive) I say to go through a free training group like the one we provide so you can be all setup and ready to go to use your 7 day free trial. If you like it great stay on board and keep moving toward your success.
Importance of Foreign Exchange Market
The Forex Market is important because you are trading national currencies against one another so it in turn determines the worlds economic health and the well being of those who reside in certain countries.
Related Questions
(From Free Facebook Group)
Can You Get Rich By Trading Forex?
You absolutely can get rich make sure to sign up for our free course that shows you mathematically how you can take as little as $100.00 or even 5 pips a day and become a millionaire. Is it easy? From a trading standpoint it can be from a mindset standpoint it can be nearly impossible and most do fail because of it.
Who Are the Market Makers In Forex?
Market makers are those that actually make the rates. For the most part these include the banks and hedge funds.
Who Regulates Foreign Exchange Market in India?
Who Moves The Market The Most?
I am a big believer in technical trading and there are those who don’t believe in it at all. Having Steve Gregor as a mentor in IML has changed my life and opened my eyes. I do believe that fundamentals is what is ultimately behind the movement like news but you can trade this with technicals as well. Fibonacci does rule the charts which is why I usually Fibonacci Confluence along with what Steve Gregor has dubbed Waveology.
Anybody that has ever traded the news for a little while has seen where after eventful news there will at times be a move up then back down this is do to what is called Elliot Wave. I won’t go into details but this is one of the things I have learned since joining IML.