Can You Be A Forex Success Story and Gain much dollar ? (Dollar $) - Welcome and gain much dollar. Does success really come down to having a lot of trading capital? If you were to look at some trading success stories, not all started with tens of thousands of dollars. You can make gains with a small account if you fully understand and utilize the concept of compounding your profits. Heck, check out millionaire Bill Lipschutz who started with $12000..from his Grandmother! Compounding is the ability of an asset to generate earnings, which are then reinvested in order to generate their own earnings. In this simple “numbers” game, you can see that the more money you have in your Forex trading account, the more easy is to reach a million dollars.
Compounding in a nutshell:
You start trading a certain number of lots depending on your account size
You risk a static percentage of your trading account for all trades
As your account size increases, your risk percent stays the same
You will be risking a bigger dollar amount per trade but the same percentage as when your trading account was smaller.
Now, I’m talking about 1 million dollars in profits here but this can be applied to much smaller Forex profits as well.
For example, if you want to make $50,000 Forex trading profits in a year, then tell me, which of these 4 Forex trading accounts sizes can make it much easier and faster to achieve that goal?:
$5,000 Forex trading account?
$10,000 Forex trading account?
$25,000 Forex trading account?
or a $50,000 Forex trading account?
It’s the $50,000 Forex trading account.
I suppose the goal of every Forex trader that starts with a small Forex trading account is to be able to one day be able to increase that small Forex trading account to $100,000 or more. Remember, life is not so perfect as these examples because I have assumed a lot of things in the calculation and the biggest one is that you actually have a trading edge. All the money in the world won’t help you if your FX trading strategy has no edge to it. You do it, good luck !