The Volatile Goldmine - Forex Market

I have stopped writing blog since early this month. I focus most of my time in the volatile environment. Most of the amateur players were knocked down during this period. On the 6 of May 2010, I consider that day was a Tsunami in Forex Market. If you are in the wrong positions and no risk management in hand, your equity will be wiped out in a matters of hours. I was slightly affected but quickly take action to encounter it. Dow Jones Index dropped 1000 points in just less then half an hours. Anyway, it was a good experience for me to weather the perfect storms.
If you are looking Gold in the volatile Goldmine, you need to well prepared or else you will be end up nothing. Forex market is not for everyone, you must be prepared for the worst and bring back your equity level. I see a lot of amateurs boast about themselves on the return they can make. For me, a real professional forex player is the one who can bring back the account if they experienced draw down.  From here, they can make money consistently  again. Most of the forex players have the draw down syndrome which eventually burn their accounts.
If you are looking for treasure in Forex Market in long term basic, make sure you equip yourself before starting this volatile games. I just like to play the game and if I lose, I will fight back and win again. That is one of the reasons make the games so exciting. I just loving it.

Forex Market : A Zero Sum Game

What is a Zero Sum Game in financial market? Basically it is a game that consist of equal sellers and buyers. Gordon Gekko in Wall Street movie once said “It's not a question of enough, pal. It's a zero sum game, somebody wins, somebody loses. Money itself isn't lost or made, it's simply transferred from one perception to another.”  He is absolutely right! In Forex Market, one side is buying and one site is selling a pair of  currency. The middle man (Forex Broker) will collect the tiny but huge in volume spreads is always the winner. They act like bookies in the football bet. 
In Forex Market, more then 90% of the losers will transfer the money to 10% of the winners. The rules of thumb is simple: Greed and Fear make the whole market up and down, 90% players which don't know how to control the emotion and other aspects in the game will be knocked down by 10% of the professional players. One of the top 5 currency traders say 'There are rules in this game, if you don't know, better stay out of it!'.
You will ask ' Is the 10% winners win all the time?" The answer is 'NO!" Even the best traders in the world have the draw down period. But most of the time they are winner and some of them WIN BIG when the opportunities come. 
For me, a typical hedging currency trader. Sometimes I win big (40-80% per month-The odds is on my side) and consistently 5-25% every month. On the drawn-down site, I experienced 15-25% , but only in a small scale of my overall portfolios (less then 5% of all). I will fix it back to the beginning level before attempting bigger leverage. My advice to FX trader, "Don't increase or maintain the leverage level on your account when you lose, you will be out of the game if you do!"