I just love these posts, making it all seem like it's the easiest thing in the world...if that is the case- why aren't everybody millionaires?
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25-30% yearly profits, reallistic in Forex?
- Thread starter crgarcia
- Start date
I just love these posts, making it all seem like it's the easiest thing in the world...if that is the case- why aren't everybody millionaires?
Quote from drasfs:
"Rcfaniel: I dont know what the banks are doing, if they are intra day trading or swing trading. But goldman sachs paid aproximately 16 billion dollar in bonuses to employers last year.that would be about 644 000 dollar for each employer(they have about 30500 employers)"
I am aware of that. But GS doesn't make their money from 600% annual trade performances. They do it via fees/etc, Wealth Management, Brokerage, ... worldwide.
"Im raping the market as well. I made about 13 trades here in one day , all winners:http://img142.imageshack.us/my.php?image=ddhn9.jpg
I used forex.com there, and they have about 3 pips spreads on eurusd, eating up all my profits. Now im trading with oanda and im doing a lot better now since the spread is only 1.2, resulting in more trade oppurtunities,less risk, and more profit."
Is the spread 1.2 based on: their ads/website, your toal experience, or on their most liquid pairs (such as euro / USD)? That is very appealing if true...
"I make about 15-30 pips each day scalping the market as shown in my profit/loss report. "
How long have you been doing this in total?
Quote from crgarcia:
Now I'm a "seasonal" stock index swing trader, getting out when there isn't a clear trend in the stock markets. On the long run got about 15-20% yearly profits.
Is 25-30 reallistic in forex, with moderate risk and leverage?
(after taking some time to learn and paper trade, of course).
When I must believe the results a guy in another forum is posting it must be possible.
He says he makes 15% a month
auto
"auto is on a distinguished road
Lightbulb MA for Mid Term System
This is a mid term system which catches the big moves ..
Trade type: mid term trend and swings
Trade Frequency: Many trades weekly.
Trade size: constant 0.1% or less
Target: 200 pips or more
Stop: 100 pips max
Pairs: many pairs diversified
Monthly Avg: 10% (approx and subject to change)
Draw down: 8% (approx and subject to change)
Leverage: Medium (20% max margin used)"
joemiami can actually be right. Just because not everyone can make that amount it doesn't mean it can't be done.
I actually make 20% on a good month, with about 14% on an average month.
I could probably make more by raising the risk on each trade, but that is something i don't want to do, because every now and then volatility picks up, or cools down, events come up and i really don't want to blow it all up.
I risk no more than 2% and the risk stands at 1.5% on an average trade.
So... 50% can be done, although it is RISKY AS HELL.
Stop being the know-it-all. With spot fx you can do it because of the huge leverage.
However, if you don't know what you are doing or have little experience, you can lose it all. In order to actually get the money in your account, you need to withdraw every month and only keep margin money in the account.
Basically, in terms of technicals, fx daytrading is the ultimate field of play. it pays good and it also rips 80% of the people off. If you stick long enough to it, you can cross over into the 20% lot.
Wish you success.
I actually make 20% on a good month, with about 14% on an average month.
I could probably make more by raising the risk on each trade, but that is something i don't want to do, because every now and then volatility picks up, or cools down, events come up and i really don't want to blow it all up.
I risk no more than 2% and the risk stands at 1.5% on an average trade.
So... 50% can be done, although it is RISKY AS HELL.
Stop being the know-it-all. With spot fx you can do it because of the huge leverage.
However, if you don't know what you are doing or have little experience, you can lose it all. In order to actually get the money in your account, you need to withdraw every month and only keep margin money in the account.
Basically, in terms of technicals, fx daytrading is the ultimate field of play. it pays good and it also rips 80% of the people off. If you stick long enough to it, you can cross over into the 20% lot.
Wish you success.
Quote from crgarcia:
Now I'm a "seasonal" stock index swing trader, getting out when there isn't a clear trend in the stock markets. On the long run got about 15-20% yearly profits.
Is 25-30 reallistic in forex, with moderate risk and leverage?
(after taking some time to learn and paper trade, of course).
Read Market Wizards by Schwagger, The Money Masters by John Train and other biographies of top traders and the performance numbers of various hedge funds, mutual funds, trading programs etc, then get back to us on how realistic it is to do 15-20% year after year after year, let alone 25/30. Can it be done?, certainly, and esp with a smaller (under $10million) account. People on ET always make the mistake of assuming one will compound their gains till cows fly over the moon, which is silly, but lets assume you do compound a $20,000 account, doing 27.5% per year. Twenty years out, which isnt really that long in the grand scheme of things you have grown $20,000 to $2.57 million. (this has some tax flaws etc in it, but you get the idea). Can it be done? Absolutly! Has it been done! Yes, by a good number of people, but a good number of people have also won the lotto.
If you can average 25 to 30% annually over a 10 to 15 year period it will certainly put you in the top 10% of all traders, probably in the top 1%. It takes dedication, focus, and a little bit of luck along the way too (for example personal and family illness, divorce, hurricanes, earthquakes, fires, children etc can exact a hell of a toll on your overall performance if you aint careful).
Hope I'm being helpful here for you.
Brandon
Quote from traderight:
I just love these posts, making it all seem like it's the easiest thing in the world...if that is the case- why aren't everybody millionaires?
If trading was as easy as a lot of the folks on ET and most of the gurus out there make it seem to be none of us would have houses to live in, food to eat or cloths to wear. The world would drop what they do and trade...but then what would they trade if there is no production??
Quote from Brandonf:
If trading was as easy as a lot of the folks on ET and most of the gurus out there make it seem to be none of us would have houses to live in, food to eat or cloths to wear. The world would drop what they do and trade...but then what would they trade if there is no production?? Huge returns on small accounts are easy to do, I once made nearly 1000% in a single year (99), but the starting account of $25,000 had been drawn down to nearly $15,000 from which that "amazing" return was accomplished.
I simply don't think that mixing up stock trading, futures trading and currecy trading (spot) in a discussion about yeary percentage is right.
One thing is institutional trading and talking about money managers and one thing is talking about private traders with smaller accounts.
One thing is large size execution in stocks and one thing is large size spot fx execution ....
Don't think that because top money mangers can have a return of 25% per year, nobody can beat that, because it is absolutely not true. And besides, there are people who are not in the spotlight and make millions.
The problem is that the "market wizards" everyone looks up to need media exposure because in most cases they manage OPM. Think about it! I doubt they make less than 50% a year. They need to claim that in order for their funds to return a fair sum to people, so they don't go asking for 150% of their investment in the fund....
And that's a personal opinion noone can bash.
One thing is institutional trading and talking about money managers and one thing is talking about private traders with smaller accounts.
One thing is large size execution in stocks and one thing is large size spot fx execution ....
Don't think that because top money mangers can have a return of 25% per year, nobody can beat that, because it is absolutely not true. And besides, there are people who are not in the spotlight and make millions.
The problem is that the "market wizards" everyone looks up to need media exposure because in most cases they manage OPM. Think about it! I doubt they make less than 50% a year. They need to claim that in order for their funds to return a fair sum to people, so they don't go asking for 150% of their investment in the fund....
And that's a personal opinion noone can bash.
I think Brandon's post clears it. The account growing 100% is possible but if you were a professional, even if you can stomach such a drawdown, your clients would not love it at all. They would flee.
A private trader with experience, guts and a money reserve, can stomach that drawdown and move along.
A private trader with experience, guts and a money reserve, can stomach that drawdown and move along.