MAKING BEAT SOFTWARE

Let's first of all start with a rather startling fact:

20 years ago 95% of forex traders lost money and today the ratio remains the same - this is despite all the advances we have seen in forecasting software speed of news etc - the ratio still remains the same.

The fact is computers have helped us in some areas in terms of getting information and ease of use but computers are not the Holy Grail lets look at an example.

Neural Networks - Artificial Intelligence & Chaos Theory

Today the buzz words are neural networks, artificial intelligence and chaos theory and people build complicated computer programs around these theories.

Mostly these trading systems are clever but they don't make money - Why?

Because they try and be too clever and have more elements to break than simple forex trading systems which have always worked best as there more robust.

Try this Simple System it's FREE

My contention is that if you took a simple forex trading system like Richard Donchian's four week rule ( which is free) and applied it ( look it up in our other articles) it would beat 95% or more of the clever over priced systems I have seen and this simple system is very simple - just 1 Rule!

Look at it and you will see why it works.

In forex you don't get paid for being clever you get paid for being right with your trading signal- and that's it.

Years ago in the 1990s I got talked into buying an artificial intelligence based program and to lease it in those days was ,000 per month and I bought the story of it being based on NASA technology etc and it was beautiful in its presentation all sorts of indicators flying around the screen I had never heard of and it wiped my equity ,000 out in 3 weeks!

If I had thought about it - it was simply based on logic that wouldn't work and had too many rules but I was blinded by science.

So the moral of this article is computers make our forex technical analysis easier and save time - but they should not be used to create complicated systems.

Your PC is more powerful than the one that was used to land man on the moon - but it won't help you beat the market.

If you want a computerized currency trading system to make money, simple systems are best and always have been and you should remember this and make it an essential part of your forex education.