How hard is it to make $100k-$200k in forex?

[DaveMac]

So true - I would imagine if someone did make large $$$$$$ from a small account they would either be:

1: Risking too much per trade (and would consequently give it all back when the market changed)

2: Trading a hell-of-a-lot, and have large brokerage eat away at the gains.

I know some people can do it, but they're like star athletes - few and far between. Consistency is the key.

 

[Mr J]

TH, I'm not saying performance will be consistent from year to year, I'm just asking why he thinks a 40-80% return is as good as it gets, if that is what he meant.

As soon as you start smokin' the market I can guarantee you that market is about to change and you will have to re-learn your approach.

Seems to me that the more the markets change, the more they stay the same. Markets may change in some ways, but in others they are consistent. Human behaviour drives the markets, and that is predictable and consistent.

 

[lukelee]

strongly recommend you to win your first $100k in a demo account before enter the real market.

 

[wanlad1]

Personally I think it would be quite achievable by scalping, however you would need to be incredibly disciplined for 1. Secondly minimise your time in the market, just be on during the times that suited your strategy. Thirdly do not over trade and once target reached for the day shut down. On negative days just accept and close down.

The problem is sticking to the above I fail thus I fail with forex, shame about that.

 

[lasty]

strongly recommend you to win your first $100k in a demo account before enter the real market.

So true - I would imagine if someone did make large $$$$$$ from a small account they would either be:

1: Risking too much per trade (and would consequently give it all back when the market changed)

2: Trading a hell-of-a-lot, and have large brokerage eat away at the gains.

I know some people can do it, but they're like star athletes - few and far between. Consistency is the key.

Fx markets aren't consistent. There are some days when the market lulls and other days when it's volatile.
Trying to make x per day is wishful.
There are times whereby you up the ante and other times you sit out.
Trading the same amount day in day out IMO is not the correct way to play.
Using high leverage to optimise on certain trades is a must.

 

[vincent191]

You soon learn who is real and who is not in this forum. I am always wary on promises of quick riches. If money is so easy to make the streets will be paved with gold.

How do I get anywhere in life with that attitude? Well, I certainly did not get rich quick but neither am I in the poor house.

I agree with the advise of some of the more prudent bloggers here. Be consistent, have reasonable expectations and beware of the risks and don't expect the sun to shine everyday. It's gotta rain sometimes and when it does make sure you can withstand the storm.

Cheers

 

[Trembling Hand]

Fx markets aren't consistent. There are some days when the market lulls and other days when it's volatile.
Trying to make x per day is wishful.

XACTLY.

Stopping when you are having a good day because you have reach some "target" is setting up for an average day way way under that target. Good way to start the blow up I reckon. Even pulling back after a good week or month is silly. Like I said above you can guarantee it will change sooner rather than later. Mostly not to your advantage.

Seems to me that the more the markets change, the more they stay the same. Markets may change in some ways, but in others they are consistent. Human behaviour drives the markets, and that is predictable and consistent.

CLICHE ALERT!!

Mr J I think you have been trading for 1 year? In that time you started trading Index Futs (SPI & STW) with small tick charts saying that the game was "easy". I think you are now trading FX on hourly charts still saying its easy. That's a classic example of what I'm talking about. Either you never really made any $'s on the futs and had to look else where or you did have a good approach for a while but it ultimately broke and had to look and learn else where(FX & Hourlies)? Why the change surely you where not getting sick of making easy money already?
That's why Pages post was on the money. famine or a feast. Your above post, with all the due respect I can muster, shows a lack of experience IMNSHO.

 

[MS+Tradesim]

Fx markets aren't consistent. There are some days when the market lulls and other days when it's volatile.
Trying to make x per day is wishful.
There are times whereby you up the ante and other times you sit out.
Trading the same amount day in day out IMO is not the correct way to play.
Using high leverage to optimise on certain trades is a must.

Agreed. I would add, don't try and force anything. Either the market is delivering trades that meet your strategy or it is not. Wait until the money is there to be picked up then go collect it.

 

[lasty]

Let me just add here that Model trading normally uses the same amount (exposure)everytime.
I've never like them for that reason whereas human interaction is somewhat less disciplined but can be more profitable when not overtrading.
There has been too much emphasis on risk management with a conservative tone.These ideals infact make people over trade because the focus on the profit and loss, ie they work out their P/L first before trading.
The title of this thread is an example.

 

[skc]

Market is dynamic, and market dynamics itself is dynamic. The market changes so quickly it is often hard to realise things have changed when you are head deep in it.

I think one of the most neglected aspect of any system development / backtest is under what market situation would that strategy be useful...a macro on/off switch so to speak.

One thing I started doing within my pairs trading is a MA on equity and MA on win rate. If both starts to look ugly, I stand back a bit and look at what's going on. I found that a useful tool as an "off" switch at least.

Think of it this way - Surgeons with about 5 or so years experience get paid 200k, so that takes them 13 years to get there. Would you practice for a year then try and demand $200k from a hospital?

Where do you get this data from? A fully qualified surgeon consultant could be on $1-2m in the private system. Not sure about the public system but $200K sounds too low... fit for a GP, not a surgeon.

CLICHE ALERT!!

Welcome back...grumpy old man... Looks like breathing those toxic air in Hong Kong is not helping you mellow out!

Why is TH always appear grumpy? May be due to the fact that, on days where he post a lot, he's hit his daily stop loss already.

 

[Trembling Hand]

Welcome back...grumpy old man... Looks like breathing those toxic air in Hong Kong is not helping you mellow out!

Why is TH always appear grumpy? May be due to the fact that, on days where he post a lot, he's hit his daily stop loss already.

Hehheheh. Nah its the opposite. I'm at my most grumpy and displeased when I'm smokin the market.

 

[>Apocalypto<]

Hehheheh. Nah its the opposite. I'm at my most grumpy and displeased when I'm smokin the market.

so true...

good to see you back TH........ howz life in Honkers going?

 

[Trembling Hand]

howz life in Honkers going?

Not yet there. lots of paper to pass over very slow moving desks yet it seems!!!!!!!!!

 

[>Apocalypto<]

Not yet there. lots of paper to pass over very slow moving desks yet it seems!!!!!!!!!

o right, are you going to live there for a while or live / work?

 

[Trembling Hand]

o right, are you going to live there for a while or live / work?

Top secret i could tell ya but then I'd have to kill ya

 

[alwaysLearning]

Top secret i could tell ya but then I'd have to kill ya

If I'm a betting man, and I am, I'd bet that you've found a prop firm over there (or someone willing to back you) and you are trying to sort things out so you can trade from over there. :

One can only speculate

I hope that whatever you're trying to do over there works out for you though

 

[Trembling Hand]

If I'm a betting man, and I am, I'd bet that you've found a prop firm over there (or someone willing to back you) and you are trying to sort things out so you can trade from over there. :

One can only speculate

I hope that whatever you're trying to do over there works out for you though

Wrong

 

[alwaysLearning]

Wrong

If not that then I wonder what it could be?--I have no idea opcorn:

 

[ThingyMajiggy]

If not that then I wonder what it could be?--I have no idea opcorn:

Just pick up his bread crumbs around here, you'll figure it out

 

[Mr J]

CLICHE ALERT!!

Doesn't mean it's not true. I think the reverse statement is the cliche. I rarely see someone suggest markets remain the same, but regularly see people claim that markets always change, that we need to adapt to survive and that the same method won't work year after year. I also think that's a load of BS, to an extent. The phrase "always changing yet always the same" fits it perfectly in my opinion, which is why I used it.

You should be happy my view is overly simplistic and ignorant, you need fresh money in the market :.

Why the change surely you where not getting sick of making easy money already?

I didn't have to look elsewhere. I traded forex before I traded futures, and I switched back for the lower required margin and more flexible position size. I have changed my approach a few times, mostly in the first few months, and more recently by trading slower timeframes. I'm not going to say trading is easy, because it's a subjective statement and one that has caused a lot of friction in the past.