Disclaimer: Noob here. I’m just wondering why anyone even does this for a living if all I ever hear from these forums is how all you do is go broke. I mean I’m reading posts where people are talking about trading for a month and earning $5 and being happy. Why in the world would I work for a month for $5?! Am I missing something here?
Is there a pot of gold at the end of the grind rainbow? Everyone wants to know how long it takes to get to the pot of gold but that’s all subjective.
My question is, when you’ve reached the pot how much is in it? What’s a reasonable amount of money to expect to make from forex trading if say you work with a decent winning system and trade like 4 days a week for 8 hours on about a $1000- $2000 account budget? Does anyone have a clue or are we all here to make enough to buy one burger a week (no cheese cause we can’t afford that)!?
everyone different obviously ,some might trade little amounts because they enjoy the participation, like playing a game of monopoly but it wise trading small amounts while practicing .I personally dont really enjoy trading but im here for the long haul, for the challenge
That is a very good question.
First, we need to define “trading for a month”. If it means trading few hours per day - yeah 5$ may not be good turnaround. If it means setting few pending orders and let them play (few minute work) it is not bad.
I can only say for myself. I treat relatively small gains/losses in forex as training. I don’t mind spending time to learn how to trade (generally forex is my smallest part of portfolio) even if I’m making few $ per month. The goal here is to achieve long term consistency. If you can produce few dollar profit each month (or other average period), then your only problem is to achieve scale effect. If I ever achieve confident consistency (I am very conservative here) my plan is to steadily increase the capital to full potential. And full potential depends on what savings I will have at the moment, what would be the unrealized GL from rest of investment portfolio or even consider prop trading etc.
In other words, if you cannot consistently make 5$ why should you risk more than that? And if you CAN consistently produce 5$, then you are limited only by your capital at hand.
With good strategy you should be able to expect 1%-3% return per month. So if you want to get equivalent of current salary, you need capital of around 50x your current salary plus some safety cushion for statistically inevitable drawdowns. For perspective
Its only possible to trade 8hrs a day, 4 days a week if you have some other source of income to pay for your cost of living. This will allow you to leave all your profits in your trading account and grow it through compounding the size of your positions.
Starting with $1000, using a modestly successful strategy, you should be making a decent salary equivalent to a good standard full-time job in about 7 years.
I’m fortunate enough to enjoy the challenge using a compounding money addition every month. I have two live accounts, one managed by a pro friend of mine, and one small account as a learning programme.
What I have learnt is exactly what your post is about. 99% of new traders will not make money on small accounts. It is factual that money makes money, and if you’re also a competent trader you’ll have the necessary breathing space on a 10k account to let winning trades run on a trailing stop.
Well, if you can consistently make $5 a month, all you have to do is increase your margin. Deposit more funds and increase your trade volume. The higher the volume, the higher the pip value, more money for you. If you are very good at it, use a high leverage, 1:500, or 1:1000 lol.
Lol. There are many many people out there who have lost 10k and more who would love to be able to say they made five dollars for the month instead of losing their life savings.
Using that $1000 here in Jamaica you could easily be earning $50 per day. At the end of the year your take would be more than what the majority of the people here are earning including police, teachers, and nurses.
And take into consideration that by the end of month three you would in all probability be doing more than $50 dollars per day so…
Dax, Nasdaq,gold are high win/loss ratio trades discounting stocks .the wins are high profits but the risk high too it s good to see mavericks like the goate on the site not just all similar stuffy personalities
even more funny is i seen you reply say tat you dont even enjoy trading lol like wat?? wat are you doing just watching out for good forum convo instead of mastering ur craft? lmao
Trading is dull ,the world full of potential adventures you have so much variety everyday of your life if your blessed with been born in a sophisticated country or not , not sat in front of a monitor watching charts all day and been obsessed with money when you already comfortable
I trade because I have money saved though need a bit more than I have to just. travel and do things I want I cud nt give a @@@@ about charts finance people traders they are bores