95% of Traders Lose: Is this Stat Misleading?

[brownsfan019]

As I mentioned in another post, that stat is a joke and means nothing. There's no substance to it.

While stats are based on numbers, stats can be manipulated very easily to the person or vendor looking to benefit from them.

It's easy for someone that loses in trading to say that so few actually make it, which in turn makes them feel better about themselves. Misery loves company.

One thing I have learned in my years of trading - don't pay attention to any stats that you personally have not compiled. Most everyone out there has an ulterior motive - whether that is to simply feel better about their own failure or to sell you the holy grail that will prevent you from becoming part of the majority of losers.

Note - as you can tell, this is one of those things that really, really gets me going. I believe that stat was created by the numerous vendors out there trying to sell you the magic pill of trading.

[drk1t]

The number one reason for small businesses failing is lack of adequate capitol, I'd guess the same reason for traders. If a person can stay in the game long enough they have a much better chance of learning what works for them. If it was easy everyone would be doing it, or perhaps I should have said, "still doing it".

[brownsfan019]

	Quote:	drk1t
	The number one reason for small businesses failing is lack of adequate capitol, I'd guess the same reason for traders. If a person can stay in the game long enough they have a much better chance of learning what works for them. If it was easy everyone would be doing it, or perhaps I should have said, "still doing it".

Good point drk - a trading account of $2500 trading E-Mini's is more than likely eventually going to be blown out.