I stole this idea from a thread on a forex forum I saw a few years back. I don't remember which forum or which thread so if this sounds familiar to anyone, post a link to the original.
This dude basically said that in Forex it's possible to start with a small account and if you get lucky and price keeps going up after you enter, you can keep pyramiding your position by buying more with leverage from the equity/margin of your existing position which is increasing as price moves in your favor, and end up with $1 million. He worked out the math, I'm just presenting the basic idea.
The idea was low risk (the small account) and high reward (a million dollars).
Of course, it requires picking a bottom basically. And a lot of luck. It's pretty much like gambling and "letting it ride" or whatever.
I think he was starting with a $1,000 or less account. I don't remember his math. I'd actually like to see the thread again and see what became of it and if he was ever successful. IIRC he showed a few charts of historical examples where this would've worked.
Discuss.
This dude basically said that in Forex it's possible to start with a small account and if you get lucky and price keeps going up after you enter, you can keep pyramiding your position by buying more with leverage from the equity/margin of your existing position which is increasing as price moves in your favor, and end up with $1 million. He worked out the math, I'm just presenting the basic idea.
The idea was low risk (the small account) and high reward (a million dollars).
Of course, it requires picking a bottom basically. And a lot of luck. It's pretty much like gambling and "letting it ride" or whatever.
I think he was starting with a $1,000 or less account. I don't remember his math. I'd actually like to see the thread again and see what became of it and if he was ever successful. IIRC he showed a few charts of historical examples where this would've worked.
Discuss.
