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Forex prop firm | Asset management company | Personal large funds.
Formal starting from $500,000, test starting from $50,000.
Profits are shared by half (50%), and losses are shared by a quarter (25%).
Forex multi-account manager Z-X-N
Accepts global forex account operation, investment, and trading
Assists family office investment and autonomous management
In forex trading, a deep understanding of the relationship between currency value and price is crucial for developing rational trading strategies.
Currency prices consistently fluctuate around their intrinsic value; this is one of the fundamental principles of the forex market. While subjective expectations, supply and demand, and other factors can have short-term impacts on currency prices, these factors rarely shake a currency's core value. Imbalances in supply and demand may cause prices to deviate from their value for a period of time. However, major global currencies generally exhibit a tendency to mean revert—meaning that prices ultimately converge toward their value. This explains why, in forex trading, even if a trader misjudges a currency's direction, they typically avoid significant losses if they don't use leverage. Over the long term, over several years, prices tend to return to values, and previous losses can potentially be converted into profits. This assumes, of course, that overnight interest rate spreads remain within reasonable ranges. In the foreign exchange market, the British pound and the Swiss franc are prime examples of currencies whose values and prices remain relatively stable. For example, in the 2010s, the Swiss National Bank (SNB) pegged the euro to the Swiss franc at a red line of 1.2, attempting to maintain its trade advantage by devaluing the Swiss franc. However, the euro's depreciation exacerbated appreciation pressure on the Swiss franc, ultimately forcing the SNB to abandon this peg. This triggered the "black swan" event of 2015, which saw numerous forex brokers go bankrupt due to volatile market fluctuations. In stark contrast, in the forex market, some countries' currencies have deliberately devalued to maintain their trade advantage, often leading to uncontrolled devaluation and even currency crises. The Turkish lira is a prime example. Its devaluation was so uncontrollable that Turkish citizens were reluctant to hold their own currency, instead hoarding major international currencies such as the US dollar, euro, and British pound. Even a sharp increase in interest rates by the Turkish central bank to 50% failed to reverse the situation.
In the field of forex trading, truly teaching a trader is no easy task. Technical factors only account for one percent; the remaining, more important factor is a stable mindset.
The core reason for forex trading's difficulty in teaching is that a trader's growth relies heavily on their own understanding. Technical knowledge can be taught, but cultivating a mindset cannot be achieved through instruction alone. While techniques can be taught, trading experience is equally difficult to acquire through instruction; it requires personal practice and continuous accumulation.
Of course, once a trader's technical and mental skills have reached a certain level, capital size becomes a key factor influencing trading success. Capital size cannot be acquired through instruction, nor is it something that novice traders can acquire overnight; it requires long-term accumulation. Young people, in particular, often struggle to acquire significant capital unless their families can provide substantial financial support.
In forex trading, the most important factor isn't technical skills, mindset, or knowledge, but strong financial resources—a steady supply of funds to calmly navigate market fluctuations and even maintain long-term strategies. Traders with ample funds can hold their positions firmly, weathering large fluctuations while patiently waiting for fluctuations to grow. They may even hold onto their positions for years before reaching their expected profit targets.
In contrast, traders with limited funds often fall into the trap of excessive trading: rushing to cash in on small profits while stubbornly holding onto positions despite significant losses. This is why the vast majority of traders with limited funds eventually exit the forex market; the only difference is when. After all, traders with limited funds struggle to make a living from trading, let alone support their families.
In forex trading, there are significant differences in the mindsets of short- and medium-term traders and long-term investors.
Short-term and medium-term traders typically focus on trend extensions, preferring to capture short-term price fluctuations and profit through frequent trading. These traders are often breakout traders, preferring to enter the market when the market breaks through key resistance or support levels, capitalizing on short-term market momentum. Because short-term and medium-term traders often have limited capital and may rely on trading profits to survive, they tend to trade quickly to achieve immediate profits.
Long-term investors focus more on trend retracements and tend to look for entry opportunities during market pullbacks. These investors are often retracement traders, prioritizing the long-term market trend and willing to buy during market pullbacks, waiting for prices to revert to the long-term trend. Long-term investors often have ample funds and less stressful lifestyles, allowing them to patiently wait for significant investment opportunities. They are not eager to profit in the short term, preferring to achieve asset appreciation through long-term holding.
In the foreign exchange market, currency movements typically experience prolonged periods of consolidation, while significant market movements or trends are relatively rare. Therefore, short- and medium-term traders typically can't wait for significant market trends; they simply can't afford to wait. In contrast, long-term investors can patiently wait, possessing the time and funds to withstand prolonged market fluctuations until favorable investment opportunities emerge. This difference in trading mindset and financial resources determines their trading strategies and behavior in the forex market.
In forex trading, if a trader lacks innate talent, repetition becomes a crucial tool for overcoming this shortcoming.
Forex trading inherently has a certain tedious nature, making it difficult for most people to persist for long periods of time. After all, repeating simple tasks over and over again can be tedious and monotonous. Many highly intelligent or relatively intelligent individuals are often reluctant to settle down and repeat simple tasks. This is due to their inherent nature: they prefer to tackle complex challenges and lack patience for tedious repetition. In contrast, those with average IQs or those who appear "dull" are more tolerant of this monotony and willing to consistently repeat simple tasks.
In forex trading, if a trader lacks exceptional talent, they should persist in repeating both boring and simple tasks. Through this continuous repetition, they gradually build the knowledge, common sense, experience, and technical skills necessary for trading, as well as the psychological training and mental refinement required. The process of repetition is essentially a process of deeply internalizing and solidifying knowledge and experience. Furthermore, repetition itself is a process of continuous reflection, enabling traders to better identify patterns and strengthen their memory. Many innovative ideas are conceived and born through day-to-day repetitive practice. When repetition reaches a certain level, the talent, inspiration, solutions, strategies, and methods required for forex trading will gradually emerge.
Forex trading is often not very friendly to young investors.
Young people entering the workforce naturally face many disadvantages when participating in forex trading. They often lack sufficient capital to withstand significant market fluctuations, and they also lack a mature mindset and psychological preparation. These factors put them at a disadvantage in trading.
If you have any doubts, observe successful forex investors around you or those you know, or even consult classic investment books. It's not hard to find that most successful investors only rise to prominence in middle age. This is because forex trading is not just a financial activity; it's a comprehensive training for investors. It tests many aspects of an investor's character, mindset, and psychological preparation. While investors may not have outstanding strengths in certain areas, they must avoid obvious weaknesses or deficiencies, as these can often become fatal flaws, quickly leading to their elimination from the market.
Furthermore, everyone is born with various bad habits and inherited flaws, which can be magnified in forex trading. Therefore, investors often need to spend up to a decade or even longer honing their skills, overcoming these flaws and gradually improving their overall quality.
In forex trading, few investors achieve instant success. Even if luck leads to good results initially, this so-called "success" is often false and unsustainable. For young investors, even if they achieve short-term success with luck, if their mindset and psychological preparation are not up to par, such success will not be sustainable. Therefore, forex trading requires not only technical skills and strategies, but also time and patience to hone an investor's inner qualities.
13711580480@139.com
+86 137 1158 0480
+86 137 1158 0480
+86 137 1158 0480
z.x.n@139.com
Mr. Z-X-N
China · Guangzhou