Does anyone really make money off of the Forex?

Hello, traders! I’ve been trading on forex market during 1 year. There were both victories and defeats. I can admit that right now I earn more than lose. It’s very important to find a broker which has no problems with money withdrawal. Because it’s unpleasant when you can’t take what you earn.

Good going innercircletrader!

In my trading all i want is consistency not large returns. Consistency is what investors want. Hers a list of reasons why you want consistency instead of large fluctuating returns.

  1. How you get wealthy trading is not only through trading but through having a great track record that shows consistency over 20% per year. This track record is what becomes appealing to investors.
  2. Trading is only one part of your life. Think about it. Your bottom line in life is to be happy that is it. If you make trading the only thing in your life you simply won’t be happy. And you can’t trade without being happy. You need to be a happy to trade. Only way your going to do that is by having a balanced lifestyle. Only way you can do that is by not being stressed out of your mind. Only way you can do that is by not being overexposed in the market and having good money management skills so when you are doing other activities such as sleeping, being with your wife, kids, friends and family, you are actually there.
  3. Another reasons to use good money management. No one wants to be the riches man in the grave.
  4. You net worth doesn’t equal your self worth. I find being a humanitarian gives me an edge in the market. Yeah i trade. But my trading style is complete an utter boredom. Ive only made 1 trade in the last week and that was for the AUDNZD when it broke its last psychological support level. This allows me time to keep a balanced life and focus on things in my life that are going to increase my overall happiness
  5. It stops you from being stressed
  6. More than 25% return pa is plenty for investors. The most important thing is just showing some return each month.
  7. You can sleep better
  8. The balance in your life is more important than the balance in your trading account

    When you begin to think like this you begin to stop thinking about making money and you start to think about making good trades. The outcome of good trades is money.

Biggest problem with most traders is that they think about the money too much.

THINK ABOUT THE TRADE NEVER THE MONEY!!!

PSYCHOLOGY > METHOD > And you try not to think about the money. It clouds your judgement.

This above quote is just complete rubbish… Really gets to me when people sell crap.

If you start of with $10,000 and you make 120% per year for 10 year your trading account balance would be $26559922.79.

My aim is to make around 30% per year.

Gorge Soros fund is the most successful fund in the world and its annual return is at 21%.

Warren Buffet Annual Return is 22%.

And they are both billionares why?

Because they have consistency not some crazy return. Consistency is what makes you super wealthy.

Your mathematics are flawed.

120% annually compounded properly, $10,000 turns into $1,548,598,902.38 in ten years.

10000 * 2.2^10 = about 26 million

If you use static values, you’re correct.

Compounding doesn’t work that way.

I was wrong too. It’s just under a billion. I added an extra year accidentally, and didn’t check.

Don’t believe me?

Make it easy on yourself. Use this.

Actually it works exactly ‘that way’. No need 'to make it easy on myself, I’m math literate, not that I need to be as the calculation is anything a 12 year old could accomplish. Seems that Master Tang has eaten one too many fortune cookies.

Your link is irrelevant as it is using monthly compounded, not yearly as was the required (ie stated) ‘input’. If you want to use other than yearly compounding you will obviously get a higher result. Why not use weekly, daily or hourly? Understand?

To keep it simple just refer to -
120% increase on 10,0000 after one year = 10000+12000 = 22000
120% increase on 22,0000 after one year = 22000+26400 = 48400 etc etc

Time to move on me thinks, Grasshopper. I’ve just realised that you must be a Troll. If not I suggest keeping away from Trading.

Hi Sharptrader,
I feel bad everyone is picking on you.

I hope you take this as constructive.

regarding your "Sharp_Trend_Trader"
Your backtests do not look very good. You need better data! 90% with a scalper like that will not give you an indication of its performance.
google “birts’ ea review” and follow the instructions to download dukascopy data.

42% drawdown with a 1.3% PF… It will most probably send you broke!

I trade,write & test ea’s full-time. You would want to show me at least 6 month forward test with over 20% per month return and no more then 30% DD. That is my bench mark at the moment for an unattended ea. (not many commercial offerings will do that)

GL

Hahah well looks like no one can calculate. But still trading the way i do it is a visual test not a mathematics test.

But i still think i am right.

Marter Tang that calculator is wrong.

I am right. No hard feelings but use this calculator

Compound INTEREST calculator - calculate online - Annually, Half-yearly, Quarterly, Formula

It says

$26559922.79

Which is exactly the same number I have… :wink:

Im using a compounding calculator.

If you are compounding correctly, 120% does INDEED compound monthly.
Nothing wrong with my link in that respect, and nothing wrong with your math.

Don’t know why you have to resort to name calling.

Rather childish.

It compounds on every trade. which is much better then monthly! as long as you trade more then once per month.

To all,
I started out here and hardly read posts. I went though the school provided on this website and got my education. Thanks BAbypips. I then went to FXCM micro to open up an account with $500. I lost all of that plus thousands more. I took a real course given by a pro-trader costs some real money not cheap. I lost money but it was managed more. I re-reviewed the course I purchased and also read some trading books. I followed time tested strategies and ultimately it marinated together to form my own strategy for profitability. You all have to just not give up, stay educated, stay looking at those charts and understand what you are doing. One jewel I will leave with you all is that what is in the school here on Babypips are very true. You just have to know how to use them correctly. Good luck!

Also, the contests that FXCM micro held shows participants turning $500-5000 to over $200,000 in a month. They provide trade reports and interview on the individual traders and their styles. It is quite motivating. Put this into your browser to see for yourself. Enjoy! Contest Winner Archive

I am living example of a real person, telling you a real story about trading FOREX. All beginners, heed my advice, because it is one hundred percent true and based on my very own experiences.

I have traded since the swiss bank intervention, which was approximately almost 2 years ago, since then I have lost thousands upon thousands of dollars. Don’t get me wrong, I followed the idiotic school here, I know everything there is to know about trading, triangles, trend lines, flags, fundamentals, QE effects on the market, BLAH BLAH BLAH.

You will lose, when you come here, 90 percent of the people appear like their profiting, in reality maybe 10 percent of the people here actually make a profit, and they leech of the poor guys like ourselves, to make millions of dollars. They are Romney supporters, and we are Obama supporters, and the dodd frank act was the beginning of saving us, for tragedy in the FOREX market.

To conclude, after 2 years, trading everyday, spending many hours researching this, I am not a dunce I am just like everyone of you, and hope no one here limits my speech, but I am telling all of you the truth, Forex is a scam that benefits the rich, and nothing trickles down to any of us. We will go broke, as I did, I’ve lost thousands as I’ve said and NO it wasn’t all in one trade, it was the span of HUNDREDS UPON HUNDREDS OF WELL INFORMED TRADES, trading a MICRO account with a minimum of 50 dollars, and I STILL LOST THOUSANDS.

Please if my speech isn’t limited, learn from my mistakes, and don’t fall into what their trying to sell you, they are very rich and profit from poor traders who lose their life savings wanting a better life. They are republicans, we are democrats.

[B]If you want to be poor, do what poor people do.
If you want to be rich, do what rich people do.
If you want to be a douchebag, do what douchebag people do.[/B]

I hope that is clear enough…

“You may not realize it when it happens, but a kick in the teeth may be the best thing in the world for you.” W.D

I think the problem is [B]YOU[/B] not the government…

Yes, clearly your losses are due to Romney supporters. Obama and Dodd- Frank are there to help you.

Those evil Republicans… SMH

Let’s ban the Republicans’ Forex racket and return the wealth to the 99%!

Who’s with me??

In reality, I don’t think your losses are Due to Romney or Capitalism… Stop trying to pass the blame and take responsibility for your own actions, Obama and Dodd- Frank aren’t going to protect you.

I don’t doubt you lost a lot of money. You have been trading for two years, that is a long time, but it may take you up to 7 years to be a good trader. Maybe you need more practice. As for the Democrats and Republicans go, your comment is purely subjective. And as for 10 percent of the traders here who are leeching off of the little guys just starting out with very limited capitol; that can’t be true. Because the smart money institutions are the ones who leech off the little traders. Not web sites, unless they are institutional traders also. Or have extremely large funds that would off set the Forex Market in a big way. On the other hand the guys or gals running this web site will tell you that the education they provide here, I know because they told me this, in fact I have a thread here somewhere about this same subject, that the education here like Eliot Wave theory, is not gonna do you any good. It is worthless. Outdated. Now some of the other stuff like triangle formations, trend lines and candlestick interpretation, and this is my view only, probably is worthwhile to learn, especially if your a Trader. Have you tried supply and demand and smart money trading. I believe that is where a trader should devote most of his time. And if you have lost thousands of dollars in Forex, you must be one rich Democrat. He Haw!

It’s very easy to lose thousands of dollars over the span of 2 years, trading nothing but 50 dollar micro accounts.

Of course that means using leverage, which the Dodd Frank act, did not go far enough in addressing. I am sure if the law limited the leverage to 10:1, I wouldn’t have lost my life savings, over the last two years, learning the FOREX market.

This site certainly does benefit the wealthy, contrary what the other poster said, many of the newer traders are victims and FOREX is zero sum, which means when one trader loses, another benefits.

Look at this way, the millionaires, they make money when all the sheep get slaughtered, from reading all these feel good stories here, about how someone made thousands of dollars in one day, trading the AUS/NZD after the down turn.

In reality, only 1 percent of millions of people, profit. The Government did a study on all the retail brokers that are regulated now, and ACCORDING TO THEIR OWN STATISTICS, 90 percent of retail traders lose, this is taken over the course of several years.

So long as my speech isn’t banned here, this is advice for newer traders, from an honest experience in the minority here.