How Forex Market Work
Take a coin and toss it into the air. As the coin spins in the air you have no idea and cannot predict which way it is going to fall. Yet over many tosses the outcome can reasonably be predicted. Just as we can predict the tosses of a coin with probability, so too can we use probabilities to predict market direction. When you trade you need to trade with the probabilities and odds in your favor.In recent years many academics have scoffed at the idea that markets can be predicted and they point to the theory of Random Walk. The theory is based on the assumption that markets are efficient. The market is one where a large number of equally well informed people actively compete to try and maximize profits.