One thing which i have noticed out of all time I have been trading the forex markets is when you are taking a perfectly profitable trading system and let two different traders trade it, you will often find that one trader is profitable whilst another one loses money trading the exact same system. I know this to be real because I know that lots of people have tried trading my main 4 hour system (see right for additional information) and never got the same kind of results as I have.
So what would be the reasons for this disparity?
Well I believe the main reason is because a lot of the best and most profitable trading strategies do not have cast-iron trading rules which are guaranteed. You will find often clear entry and exit points and instructions to take a trade when certain conditions are met, but it's often left towards the trader to only trade the very best set-ups, to ensure that person must be able to reading the markets and having some intuition.
This is really the case with my very own trading plan because I only often enter between one and three trades per week across the major currency pairs, there are often several trades which i will turn down since they don't feel right.
The fact is that the greater years you trade, the easier it is to get a feel for that markets. Before long you will quickly learn to ignore a few of the riskier borderline set-ups, and instead focus your attention on the stock market only the very best high probability set-ups.
Another reason why some people cannot make profits with seemingly profitable trading systems is merely simply because they lack discipline. The reality is that many people just cannot accept losing trades, then when they've a couple of losing trades in a row, their discipline goes out of the window and they start upping the stakes and chasing their losses. This effectively separates the winning traders in the losing traders.
Finally there's another reason why differing people will have different results trading exactly the same system, and that is due to time limitations along with other issues. The self-employed trader who works at home, such as myself, has a lot more freedom and can sit around watching the markets all day long awaiting the very best set-ups, whilst other traders, for example those who are in full-time employment, do not have this luxury.
It's also the situation that point differences can also put some traders at a disadvantage. For instance two traders may trade the same breakout system, like the early morning breakout system that I prefer to use, but whereas the UK-based trader can trade quite easily at 08.00 in the morning, this is the middle of the night for US traders. Therefore they might decide to trade exactly the same system when the US markets open instead, but this is a lot harder to do because most of the major currencies will already have posted some big moves earlier in the day.
Therefore the point is that you will rarely look for a trading system that's universally profitable for everybody. Even the Forex Morning Trade system, which in fact had very clear trading rules, gave spun sentences for different people because of slightly different readings on a single of the indicators that was used.
At the end of the day you simply have to find something which works for you, and have the discipline to stick to this system with the happy times and also the bad, providing it has been proven to earn money in the long run.
