Most forex retail traders lose money. Why is forex so difficult?

I would guess that the reason why so many wash out in Forex is largely due to the very low bar to get an account opened and the large leverage available. The other reason being the constant back-filling and the big volatility spikes. Forex is not a break out market. This year I switched to trading currency futures - mainly to simplify my taxes, secondly due to the lower cost of trading.

Forex can trend well - there are plenty of those making out well trading it although I would think it's a difficult market to day trade.
 
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Most forex retail traders lose money. Why is forex so difficult?

They don't know how the game is played. Pure and simple.
 
qxr1011 said:
let pro trade their own money for living and we will see their stats
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Whether their money or client's money is besides the point, a pro trader at work should outperform due to the fact of training, support, tools and data.
Therefore getting back to this post...
truetype said:
Do you actually know any "institutional traders"? If you did, you'd soon be disabused of the idea they're "smart money."
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They have to be smarter than average, Mr/Ms Average generally trade on a shoestring budget.
 
If you've got enough money to move prices, then in that market yours IS the smart money - everyone who doesn't follow your money is going to lose theirs.
 
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