Not even that clever. Ok, I give in. I'll tell you why.
Note that I said "can" in my first post. So, for simplicity and argument's sake, let's assume Daytrader Dave is pretty good at picking a direction but occasionally gets it wrong, say 20% of the time. He has £1000 in his account. 1% = £10.
He's using an Alpari Classic account which allows him to do approx 50p per pip (or in fact he could have an IG Index spreadbetting account).
He trades EUR/USD at current market conditions so no wild 600 pip daily swings like we've seen before.
His system allows him to take on average 2 trades a day and he makes on
average (
including losses) 30 pips a day using 20 pip stops (because sometimes he'll lose 20 pips, other times he'll make anything between 10 and 100 pips). Seems reasonable?
So, if he doesn't compound, how much will he make in 50 weeks (assuming he has a week off for Christmas and a week off in summer)?
The point is, it is
possible even if it doesn't usually happen. I mean, we know that 93%/96%/85.6% of all traders fail.
The other point is, don't be restricted by thinking how much of a return you can get for your capital. For your own specific type of trading, you need to see for yourself what is possible and accept that maybe it is only a 25% return a year or maybe it is 300% return a year. Don't compare your results with anyone else because it can make you take decisions that ruin your account.