How to win at FX might actually be something I can’t teach［Musashi Shikanai］

Huh? How do you win at FX?

As I’ve recently reflected on my own trades and recalled my past magazine work, I find myself thinking again: how exactly do you win at FX?…

This doesn’t mean that no one is profitable. In fact, many people are making profits. I have several friends who are.

But I don’t feel I could properly explain “how” they win. Profit-making, when you probe it, becomes the trader’s daily life, their very人生. So I’m starting to feel that it’s impossible for others to replicate it.

With discretionary trading, or with automated trading, you can reproduce exactly the same method and the same results as someone else. But human trades are human trades. Even if there’s profit, if you’re trading by mimicking someone else, is it really your trade?

Anyone can manage how much they lose in FX

In this sense, teaching “how to win in FX” seems very difficult. Even fairly seriously difficult.

So I want to become someone who can clearly teach “how to lose in FX.”

I trade every day, of course, but I’m not a professional, so I don’t have results I can boast about.

However, I do have a decent understanding of how to lose in FX. If I can convey this properly, I think that will suffice for now.

If you’ve bought the FX攻略.com magazine or are visiting the official site, you’re obviously aiming to make a profit in FX. Let’s redefine winning in FX here: winning means the losses are outweighed by profits.

Yet, increasing the profit amount is, as I’ve explained, extremely difficult. Truly. It might even be the essence of human capability.

That’s why the focus is on reducing losses. That’s all there is to it.

Ultimately, you arrive at the usual conclusion: “Let’s cut losses.” Because if you’re going to attempt to greatly increase uncertain profits, it’s better to control a loss amount that you can decide 100% yourself.

In FX, no one knows how far profits will grow or not, but the amount of loss is entirely up to the trader.

Is there a method to win in FX right now? There isn’t

There’s another reason to focus on how you lose. Like many FX challengers, I too see people rushing to results. They ask, is there a method to win now?

There isn’t. I can’t fully explain why, but there isn’t.

There’s no miracle cure or instant remedy, but you need to lose enough before you realize that in FX.

If you must go through a period where things don’t go well, the key is to get through that period with as little damage as possible.

FX has many approaches—discretionary trading, automated trading, and various profit methods—but there aren’t many ways to limit losses.

“Keep a single trade’s loss within a few percent of total capital”

“Place losses in advance with OCO orders”

“Ensure the loss width isn’t wider than the profit width”

With these three points, your defensive strength increases dramatically. The skill of losing well is like a judo breakfall. Start here.

※This article is an edited and expanded version of what appeared in Fuji Mountain Magazine Service’s FX攻略.com editor’s note for readers.

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Musashi Shikanai (Shikauchi Musashi) Profile

CEO of TCL Co., Ltd. He has been on the editorial team since FX攻略.com was launched in 2008, and has been involved in publishing both the magazine and the official site. In addition to interviewing and writing, he operates FX as a trader on a daily basis. His favorite technical indicator is the Heikin-Ashi, and his preferred method is breakout.

Official Site:TCL Co., Ltd.