June 12

Get Over Your Fear Of The Forex Market And Start Investing


At the end of the last decade, many young professionals watched in fear as the markets lost more than half of their value over a year and a half. College savings accounts were decimated, retirement plans postponed, and, in some harrowing situations, homes and cars were lost.

Many young people who witnessed this turbulence during their formative years walked away with what they thought was the lesson to be learned from the market’s tumble: don’t invest in the financial markets.

Sadly, many of today’s young professionals are putting themselves in a problematic monetary situation without a foothold in the market.

“If your money is solely in cash or cash equivalents,” said virtual advisor Andrew McFadden, founder of Panoramic Financial Advice in Fresno, CA, “chances are you won’t even keep up with inflation.”

It’s not the Forex Market That’s Stopping You.

10% of Forex traders make 90% of the profits. Most people take this to mean that the Forex market is risky and should be avoided.

It Is Your Misconception Of Risk

90% of us having faulty programming when it comes to risk. Not your fault, as the majority of your programming, comes from others at an early age.

I’ve spoken about this previously in the article “Why am I so scared to invest”, but as with everything, there is more than one reason that causes us to fear when it comes to investing.

The Loss Trap

An immensely powerful hidden trap lurks within the risk process, and this is the Loss Trap. To become a successful investor, you must make it OK to lose if you want to win!

Most of us have been taught that winning is everything or the only thing. You can imagine top sports coaches telling their players that they must win. Yet when a team becomes defensive and focuses on not losing, the team typically loses.

How about the business executive who tells employees that they must win if they want to survive? In those situations where winning is everything, people are more likely to lose… sound familiar?

The more you try to win, the more you seem to lose. The more you believe that everything you touch goes wrong. And the more fear you have towards investing.

I get it; you’re by no means alone; I’ve been there and had that feeling. And there are many more with that same feeling.

Think of the football team that gets slaughtered in the first half and then comes out with a completely different side for the second half.

Before halftime, they were fearful of losing, so they were likely to lose. In the second half, they had already taken the loss in their heads, so there was nothing to lose.

And when it’s OK to lose, the team could perform at a peak level, which gives them every chance to win.

Chinese Finger Trap

Taking losses goes against our cultural training. The loser is not respected. No one remembers the silver medalist. The loser feels as if he or she is somehow inferior.

Yet if there is one secret to becoming a winning investor, it’s to make it OK to lose. You are playing a game, and losing is part of that game.

The loss trap is similar to a toy that I used to play with as a kid – the Chinese finger trap. It’s a four-inch woven straw cylinder with a hole at each end just big enough for your small finger.

Once you insert your finger, you are in the trap. The harder you pull to try and get out, the tighter the cylinder gets around your finger. Only when you let go and relax does the trap let you go.

Similarly, the more an investor resists a loss, the tither the loss trap becomes. Hidden factors are keeping you deep in the jaws of the trap as you struggle with the loss.

The more you try and resist the loss, the more difficult it is to get away from those losses.

“It’s exceedingly difficult to invest if you’re not willing to lose. Almost impossible. It’s like wanting to be alive, always willing to breathe in, but not willing to breathe out!”

Make It OK To Lose

If you can make it OK to lose and take negligible losses, you can then compensate for those losses with big wins.

But if you find it unacceptable and won’t take losses when you should, you will find that the slight loss becomes much more significant. And a big loss is a disaster that is very hard to recover from.

If you want to be a losing trader, follow this simple rule… “Hang on to your losses and watch them grow!”

Make Investing A Game

If you start to think of investing as a game;

It will be less serious to you, which takes the pressure and anxiety away from the result.

Allowing you to see that there are times in any game where you take losses that don’t affect the result of the game:

• Losing the ball
• Losing a player
• Losing a goal
• Losing a ref’s decision

In every game, you take small losses that don’t affect the outcome at the end of the game because you can lose all four of the above and yet still win the game.

Take that attitude and instil it into the way you think about investing, and you will do great.

What you should do right now!

The W4A PAMM account is all about growing your funds quicker, enabling you to invest in other areas or provide you with a passive and steady income.

To serve my clients equally well, I have set a limit of 100 high earning accounts. Once those are complete, the doors will close forever.

Don’t let this opportunity pass you by, click here now and apply to become one of only 100. Your future self will thank you!

Callum McLean

I believe that everyone has the right to be financially free. I founded "Wealth 4 All", an organization that guides people from all walks of life to achieve that goal, either by teaching them how to trade or through passive investments. Connect with me to get started today.

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