FAQ Realistically, How much Money can I Expect to Make?

[Tcurtis79]

Sorry to butt in but this seemed like a forum for my question.. I want to know which is the best platform to trade on as I read there are a lot that are not regulated and or are scammers.. I just want to sign up to a trading platform I can trust in and not have any problems when it comes to withdrawing funds

 

[SmTrader86]

I have been trading for a while now. i average 10-15% per month. I am a swing trader. I don't aim for a % but my setup usually bring this %. Don't look for the money, just get better at trading before you know it, the money always follow. Once you really master yourself (Your Psychology & Emotion) your 90% there...

 

[Golgothafx]

I have been trading for a while now. i average 10-15% per month. I am a swing trader. I don't aim for a % but my setup usually bring this %. Don't look for the money, just get better at trading before you know it, the money always follow. Once you really master yourself (Your Psychology & Emotion) your 90% there...

I agree with you 100% bro.
I have lost a lot of money trying to beat the market forgetting that the market remains the Queen and we only get the much that she releases to us.
I am presently exploring ways to master the "psychology and emotion" side of me while i perfect my Price Action trading strategy for now.
Thanks again

 

[ayli]

SHORT ANSWER

Allegedly, 90% of all traders fail
This cliché is posted on the boards almost daily. It may or may not be true. Evidence to support this figure is mostly anecdotal, however, it’s certain that many who try their hand at trading quit with less money in their pockets than when they started. So, the balance of probabilities suggests that you would be wise to ‘expect’ to lose money rather than to make any. But hey, that’s a negative attitude and, besides, you’re not one of the 90% are you? No sir, let’s assume that you’re destined to join the elite 10% of profitable traders!

Now the good news
The positive spin on the ‘90% of all traders fail’ statistic is twofold:
1. Many of those that fail are ‘get rich quick’ punters who play at trading in the vein hope that they can turn £100 into a million in next to no time. If this describes you – here’s some great advice for you. . . If it’s money you can afford to lose and you want to have a laugh gambling, go to the races or take a trip to Las Vegas. It’ll be a whole lot more fun.
2. The good news is that the failure rate needs to be high in order to provide the mega profits for the 10% who succeed. In this respect, trading is a bit like the lottery. The jackpot is divided between those who have the winning numbers. The more winners there are, the smaller the cash prize that each winner receives. So, if you’re willing to put in the huge amounts of time and effort required to succeed – the upside is big. Huge. The sky’s the limit!

But . . . (there’s always a ‘but’!)
But here’s the rub. The secret to trading success is not to focus on reward, but on risk. You must minimise risk and keep your losses small. Coupled with this is the need to focus on trading really well, rather than the money you’ll make if you do. In this respect, good traders are like the best premiership footballers. First and foremost, footy stars have to focus on their training, fitness and how to excel on the field of play. The fame, money and beautiful WAGs come second.

The holy grail to success in trading is understanding and applying sound risk and money management principles. Failure to do so could be disastrous. No joke. In extreme cases, this could result in bankruptcy and loss of your house or other assets. If you've not read it already, before continuing with this FAQ; check out this sticky: Essentials Of 'Risk & Money Management'

Thank you so much T2W. It is so much useful to me...

 

[NVP]

I have been being asked this question since the 1990's and in truth it is impossible to answer as :-

1) Trading is not a linear performance business
2) no one should ever believe anyones proof of success (almost anything can be forged guys)

I have many times here at trade2win posted extracts of my scalping when i was challenged .....but i rarely bother anymore ...perhaps to some of my students at times to prove a point ....but they also realise that the market is fickle and if the market isnt offering the dynamics / conditions to trade well you will lose money unless you pack up and walk away until conditions are better.

Traders are not miracle workers (despite many vendor promises).....we simply try to find optimum conditions and setups and go with the consequences .....nothing is ever perfect

I'm fairly confident i can make money most days scalping ...but i would never claim a set profit target or overall monthly annual performance figure .......i also never become overconfident or egoistical about that claim .....if I did I would be down the slippery slope very quickly ......

but i do ok

Good trading
N

 

[barjon]

I have been being asked this question since the 1990's and in truth it is impossible to answer as :-

1) Trading is not a linear performance business
2) no one should ever believe anyones proof of success (almost anything can be forged guys)

I have many times here at trade2win posted extracts of my scalping when i was challenged .....but i rarely bother anymore ...perhaps to some of my students at times to prove a point ....but they also realise that the market is fickle and if the market isnt offering the dynamics / conditions to trade well you will lose money unless you pack up and walk away until conditions are better.

Traders are not miracle workers (despite many vendor promises).....we simply try to find optimum conditions and setups and go with the consequences .....nothing is ever perfect

I'm fairly confident i can make money most days scalping ...but i would never claim a set profit target or overall monthly annual performance figure .......i also never become overconfident or egoistical about that claim .....if I did I would be down the slippery slope very quickly ......

but i do ok

Good trading
N

Couldn’t agree more. Basically nothing “works” but the skill of traders themselves. IMO most of it is to do with who has the skill to spot a speeding truck, is deft enough to jump aside before being crushed or deft enough to grab a hold as it speeds by and shrewd enough to spot when the trucks running out of fuel.

Easy said, but so is how to run 100 metres - only a few can better 10 seconds though.

 

[hatemypips]

I agree with you 100% bro.
I have lost a lot of money trying to beat the market forgetting that the market remains the Queen and we only get the much that she releases to us.
I am presently exploring ways to master the "psychology and emotion" side of me while i perfect my Price Action trading strategy for now.
Thanks again

you beat the market when your strategy has an edge, i.e. it takes advantage from some market inefficiency which remains uncovered by majority. Simple as ABC. There surely has to be some trading patterns which are still alive but it becomes increasingly harder to explore them.

 

[NVP]

Everything is life is about seeking "The Edge"

find them
leverage them
move on when they eventually disappear (note - all edges disappear over time)

 

[DT5]

Everything is life is about seeking "The Edge"

find them
leverage them
move on when they eventually disappear (note - all edges disappear over time)

Interested on your thoughts on why the edges disappear?

 

[hatemypips]

Interested on your thoughts on why the edges disappear?

Because sooner or later becomes publicly available information and arbitrage forces drive margin to 0. Or underlying things that keep the inefficiency open for use are disappear. But as I said in most cases information assymetry that exists in the market wanes and the market becomes more efficient

 

[NVP]

in truth i'm not sure .......theres lots of possible reasons.......but i dont know .....i think some edges could remain constantly sucessful but they would have to be based on a layer of variable elements that adapt with market conditions .....N

 

[wmram]

Interested on your thoughts on why the edges disappear?

Markets are sensitive and predatory. That which provides you with your edge looks to the market as a substantive point of reference to be worked with and against. It's just a matter time before most erode.