How Much Money You Can Make From Forex Swing TradingMarjan Rijavec
Forex swing trading style is a well known and very powerful. I believe we can all agree with that and most likely you are also interested in such a long-term trading based on a Weekly, Daily and 4-hourly timeframe charts. Perfect!
But as you know me, my goal is to show you the real side of the forex swing trading and for that reason, I will tell you as it is. THE TRUTH!
Warning: This article might strongly change your opinion about trading in general. After reading it, you might stop trading forever and this is fine because trading should be taken very seriously.
For who this article is for?
Our forex swing trading community has grown a lot and I receive a lot of emails where people simply tell me, that they are looking for just some extra cash per day or just 10 pips per day, or 100$ per month, etc…
And if you are one of them this article is perfect for you.
Very important aspect when it comes how much money you can make from trading forex is that
WE MUST FORGET ABOUT THE MONEY!
The money will come just as a result of trading properly, simple as that. You firstly need to trade well and money will simply follow. Because if we focus on money we start making emotional trading decisions. (you don’t want that, right?)
TIP: Forget about the P/L and money, forget about the pips…It is about PERCENTAGE (%)
Measuring your trading performance in PERCENTAGES is the most optimal and reliable measurement unit. Why? Do you think REAL investors care about how much pips or money you can make? Common…
10% of 1000$ or 1.000.000$ is the same. 10% is 10%, the end! The investor care only about % growth and the drawdown because when “he” hears it, he immediately starts to calculate how much money you could make him based of his account and the only way he can figure that out is if you speak in percentages.
When we talk about percentage we speak the same language, this is one of the tiny steps how to become a profitable forex swing trader. (clickable)
How much money can we really make from Forex Swing Trading?
So let us get to the point… How much money we can make as a forex swing trader. If we use what we have learned you now understand that I can’t tell you the dollar amount because I don’t know how much starting capital you have. So we will talk in percentages.
Our goal as a profitable forex swing trader is to achieve 3Cs (Clarity, Confidence, and Consistency) that mean we are here for a long run, most likely to trade and invest for our own retirement or for our kids. That means we have to keep risk LOW to survive the upcoming market crashes and bad times.
From my experience, a forex retail trader can make from 0% – 30% PER YEAR with low to medium risk profile. That means 0% – 3% profit per month on average. I can’t give you the exact % number because I don’t know your risk tolerance.
What to do now?
You should calculate how much money you want to start trading with and use 10% yearly growth as a starting point. (to be realistic)
If you have a 100.000$ account that means 10.000$ yearly profit
If you have a 10.000$ account that means 1.000$ yearly profit
Now you might be upset because you have just realized that 10% or even 30% is simply too little money based on your account and that your expectations were much higher.
Here is the truth…It is possible to make like 5% – 10% per month and I did it in the past successfully, but this is not the way how you stay in the market for years…Aiming for too high and unrealistic daily/weekly/monthly goal in terms of pips or money is a path to disaster. Google what are the returns of big hedge funds…
Forex Swing Trading is a beautiful way to make consistent profits on a long run where we aim to spend as little time in front of the chart as possible because we have other obligations. Think of your family, think of your true passion…
Don’t be naive and gamble in forex, it is not working like that. Get real, become grounded and just focus on the process of becoming a better trader and the results will follow. If you are trading just to earn a little bit of cash each week or month then you should seriously consider if trading is even the right option for you. If you want to earn some extra cash go into having another job, sell your stuff you don’t need, save money, build a business around your passion. Trading is not a hobby, but a serious business. Think twice!
Cold fact: If you don’t have money, then don’t even think about trading for now. Firstly establish your financial security, save and simply PRACTICE HOW TO TRADE on a demo account. If you don’t have money you can’t make money in trading. Trading is INVESTING, it is not a game.
You will thank me later brother if you will listen to this advice. Seriously…
And if you are just starting out this video might really help you.
What are your thoughts on this article?
What is your story, dear trader?