Greetings, dear visitors http://blog-forex.org/! Today we will talk, perhaps about the most topical subject of concern to many newcomers.
This is perhaps the main question newbies - how much you can earn on Forex? The question is not so simple as it seems at first glance. The fact is that Forex traders, unlike other professionals there is no "average salary" for the industry. Or rather they have no fixed salary in the conventional sense of the word.
When my friends asked about my income, I say something like this:
- "My income is about the same as that of individual entrepreneurs."
- "My income is about the same as that of individual entrepreneurs."
Stupid people do not understand are beginning to think that I was "curry". More savvy realize that individual entrepreneurs are different - ie, those who work 12 hours a day and could barely make ends meet. There are also more successful - they use wage workers get good money. On the Forex market, you can earn as much - how much and in real business.
Income depends on many factors, which we will cover in this article.
Let's consider, after weighing all the factors that affect the Forex trader's earnings.
Factors that affect the income of Forex industry:
1) Capital, run by the trader
2) Yield (efficiency) used trading system
1) Capital, run by the trader
2) Yield (efficiency) used trading system
3) The degree of risk, which is ready to speculator
4) The psychological resistance
5) The variability market environment
4) The psychological resistance
5) The variability market environment
Let's look at each factor individually, because the only way we can answer the question - how much you can earn on Forex.
1) Capital, run by the trader
's all very simple and clear. There are a trader capital is five cents, how much can you earn? The answer is obvious - a penny! It turns out a paradoxical situation - people come to Forex that could make money, but most of them do not succeed. You can not because it is necessary to come to the Trading with the big money, not a penny.
's all very simple and clear. There are a trader capital is five cents, how much can you earn? The answer is obvious - a penny! It turns out a paradoxical situation - people come to Forex that could make money, but most of them do not succeed. You can not because it is necessary to come to the Trading with the big money, not a penny.
Let's look at an example where the money is:
Trader Deposit: $ 10,000
If the trader will earn 5% per month (the figure is quite adequate), then the money it will be $ 500. Or 15,000 rubles at the current rate.
Question: whether to "ruin" the nerves for 15 thousand rubles, if the same amount can be obtained in other areas.?
Trader Deposit: $ 10,000
If the trader will earn 5% per month (the figure is quite adequate), then the money it will be $ 500. Or 15,000 rubles at the current rate.
Question: whether to "ruin" the nerves for 15 thousand rubles, if the same amount can be obtained in other areas.?
But do not lose heart!
The fact that a trader can attract borrowed money (investors' money). Thus, he will earn in the Forex HUGE amounts almost without any risk!
The fact that a trader can attract borrowed money (investors' money). Thus, he will earn in the Forex HUGE amounts almost without any risk!
Look at the screenshot of PAMM accounts (PAMM account - is a tool that allows you to control a plurality of money investors) well-known trader Petrova Ivana.
The picture is increased by clicking upper graph shows how much money is in the management of the trader - is 1.6 million dollars. The lower graph shows a plot of yield - 726%. All data is current as of March 5, 2013.
Note that Petrov was trading for almost a year with its initial capital of $ 300. And only then, when he had a "beautiful" profitability schedule - went to his investors.
So how much can earn on Forex Petrov Ivan? Just do not count, but in my estimation - a few hundred thousand dollars he had put it in his pocket. Of course, part of the profit he has to give the investors. But, it's the little things of life) for it))
2) Yield (efficiency) used the trading system
The second most important factor that resonates with the first - the more effective trading system trader, the more money it can raise from investors. Petrov Ivan could not attract 1.6 million investment, is not having a good trading strategy.
The second most important factor that resonates with the first - the more effective trading system trader, the more money it can raise from investors. Petrov Ivan could not attract 1.6 million investment, is not having a good trading strategy.
How much can you earn on Forex with an average trading strategy?
This question should excite you! Get super strategy, as in the example above, you are unlikely to succeed.
This question should excite you! Get super strategy, as in the example above, you are unlikely to succeed.
Average trading strategy provides income 30-100% per year. The figures vary considerably, this should not discourage you. The more experience the trader - the more he can make money on Forex.
3) The degree of risk to which the trader is willing to go
very important point. Let's look at it with an example:
very important point. Let's look at it with an example:
Trader "A" trades on deposit $ 10,000 and runs the risk of each transaction 1% of its capital.
Trader "B" trades on the same depot in the $ 10,000, but the risk of 10% per trade.
Trader "B" trades on the same depot in the $ 10,000, but the risk of 10% per trade.
Both trader caught in a successful band and get 10 profitable trades in a row. We carry out calculations - the trader's capital "A" is $ 11,000. A trader "B" will double its capital - it will amount to $ 20,000
!!! Warning !!! All calculations are exclusive of reinvested earnings. If a trader "B" reinvested profit, the final result would have been even better!
!!! Warning !!! All calculations are exclusive of reinvested earnings. If a trader "B" reinvested profit, the final result would have been even better!
Now let's imagine that both the speculator hit the strip losses - received 10 consecutive losses each.
In this case, the trader's capital "A" is reduced to $ 9000. But speculator "B" comprehends the disaster - it completely drains your deposit (remember, he has 10% risk per trade).
Conclusion: the higher the risk for 1 deal takes the speculator, the more he can make money in Forex. But at great risk, there is a possibility of complete collapse.
Imagine a branch of a tree - the more we bend over it - the stronger will be the returns. But if pereuserdstvuem, the branch breaks (deposit burned).
I recommend beginners to use risk 3-5% on 1 trade. Under this option, the destruction is almost impossible! A lot of money in this way is not to make money, but invaluable experience will be received!
4) The psychological resistance
The most important factor, complex and difficult to predict. From the psychological stability of the speculator will depend on the answer to the question - how much can you earn on Forex.
Life example.
Some people call it "Basil" has a good job, a nice wife, children, apartment, car, etc.etc.
It seems to be good at it, but then - bang - there comes a breakdown. "Basil" goes into the booze, or enters into a sect or become addicted to gaming (Gamblers).Surely, you personally know such examples of life.
Some people call it "Basil" has a good job, a nice wife, children, apartment, car, etc.etc.
It seems to be good at it, but then - bang - there comes a breakdown. "Basil" goes into the booze, or enters into a sect or become addicted to gaming (Gamblers).Surely, you personally know such examples of life.
On the Forex market - just as well. A trader can "break" that is, trade is inadequate due to a series of losses or because of too lucrative series. Just trade can affect the bad events in the family, with friends, etc.
With the loss is clear - people become aggressive and begin to too much risk. You can fall into a state of trance after a successful trading period. The trader may think that it all at all and can be safely "swagger."
In these situations, difficult to give advice. From my own experience I can say that it must be experienced. I had had periods of 12 losses in a row, there were great winning series ... As you can see -. Coped.
Forex - how much you can earn on it - also depends on one important factor.
5) Variation market environment
market is a dynamic, live almost structure. It changes with time. What worked, it generated revenues before - not a fact that will generate revenue in the present and future conditions.
The speculator can do everything right - but the market will not allow him to earn in a given time.
market is a dynamic, live almost structure. It changes with time. What worked, it generated revenues before - not a fact that will generate revenue in the present and future conditions.
The speculator can do everything right - but the market will not allow him to earn in a given time.
I specifically singled out the phrase "at a given time." The fact is that if a speculator literate and careful, even if he will suffer losses - it will not affect its long-term results.The trader will analyze the situation and modify (or reverse) your trading method and start earning ... again.
The general conclusion:
How much can you earn in the Forex market - not at all, if you are an amateur and thousands and millions of dollars, if you are a professional.
How much can you earn in the Forex market - not at all, if you are an amateur and thousands and millions of dollars, if you are a professional.
Attention! Is my copyright a video on this topic!
Arthur was with you.