realistic returns

Just me · #1 06-26-2005, 02:49 PM

being on the market for some time now I think most are blinded by the huge returns possible.
I do not want to be pessimistic but traders claiming to make 50% - 100 % monthly consistantly are in my experience doomed to meet huge losses that will outrun profits made by the exeption of a few like George Soros.

Anyway, I ended up doing my own trading resulting in 3-5% monthly without these huge losses.
I know some are too arrogant or blinded to say that anything below 25% is not even worth looking at, but I'm not sure if they will have the same opinion in 5 years from now.

I'm not trying to be negative about some posts, but I would like to hear from real investors what their experiences are on the forex market.

fx_aussie · #2 06-26-2005, 03:52 PM

I started live trading two weeks ago. I did very well my first week, but never traded last week. Based on my dummy account results I expect to make a steady 15% - 30% a week increase on my bank.

I am keeping track of my results in my blog.

#3 06-26-2005, 03:59 PM

I am looking at 30-40% a month. Consistently. It is possible, but not neccesery month after month.

Just me · #4 06-26-2005, 04:04 PM

When I started out I made 100% in my first few days, I have had some 50% months as well... Over the years the market tought me a few lessons which made me very careful. I know being too careful will result in doing nothing, but I'm still here doing slow and steady trading.
I hope you guys will have better luck than me, just be aware the market can do whatever it wants when you least expect it.
Thanks for your replies thus far, good luck.

betting2win · #5 06-27-2005, 06:18 AM

LOL.. 3-5%??? Are you serious!?!?

Last week alone:

Monday June 20th 32 pips
Tuesday June 21st - 22 pips
Wednesday June 22nd 19 pips
Thursday June 23rd 46 pips
Did not trade on Friday June 24th

75 pips profit = 75% of one trade, one lot..

This was only for a few hours in the morning, when I have most free time..

betting2win

betting2win · #6 06-27-2005, 06:22 AM

Oh yeah.. 5 years from now we will all be riding the FX wave.. as China is having more and more pressure of unpegging their currency.. hopefully by the time the Olympic Games 2008 that will be held in China..

Although I have heard of reports that it could happen faster as China is receiving more pressure to unpeg their currency faster..

So 5 years from now??? LOOKS SWEET TO ME! Most FX forcasters are saying that the markets could trend about 500 pips a day.. instead of just 100-150/day as it is now.. in 1999 the market would move an average of 83 pips a day.. so please do your homework before 'assuming'..

Have a great trading week.. please keep track of your trades and place them here at the end of the week.

betting2win

#7 06-27-2005, 11:13 AM

Really nice!

aceriker · #8 06-27-2005, 01:53 PM

How much you make from forex percentage wise is all relative to how much leverage you are using. It's much better to quote your forex performance in terms of pips than percentages.

If I was looking at a forex signals service or a forex managed account, I would be more concerned about how many pips per month they were making.

If you are consistantly making 150+ pips per month with minimal drawdown inbetween then you are certainly on to a winner!

ace

#9 06-27-2005, 02:18 PM

Quote:

Originally Posted by aceriker

If you are consistantly making 150+ pips per month with minimal drawdown inbetween then you are certainly on to a winner!

ace

What does this mean? and what would be their account level? 10K,50K?

Thanks

aceriker · #10 06-27-2005, 02:26 PM

If you went long on the EUR/USD (ie. you buy Euro's and sell USD) at a price of 1.2165 and the price increased by 0.0001 to 1.2166, then you are said to have made 1 pip. So if the price climbs to 1.2315 then you have made 150 pips.

The account level could be any value, the thing to look at is the lot size and leverage used. Anyone could get lucky and make 10 pips using 400:1 leverage and near enough double their account size. But conversly if you lost those 10 pips you would lose your account. (these numbers are just examples).

So the important thing to look at when judging a signals serivce, or judging someones performance here on talkgold is "are they making a high number of pips consistantly every month with minimal drawdown". Drawdown is the value of a losing trade.

If they are, then the percentage you make on your account depends on the leverage you plan to use. Earning 100% a month using 400:1 leverage is not hard, earning 100% a month using 20:1 leverage would take an enourmous amount of skill.

ace