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Old 20-04-2005, 06:32   #4
Midge
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Re: What Percent Return Can A Successful Forex Trader Expect to Average Per Year?

Hi again achilles28


Quote:
Am I to assume then successful forex traders don't earn a substantial ROI each year since they don't "expect" any return?


Don't assume anything! I was very careful in using "many" rather than "all" as I specifically wanted to avoid a flame war I am sure many people on this forum will have a different opiniion will probably post you some replies also. Long live democracy the freedom of expressing all opinions!

In my opinion again I accept that some will differ I respect that there is no causal relationship between expectation realisation/actualisation.

Another way of answering your question would be to look at the number of traders on this board others that have been trading for a number of years. Just look at their "date joined". Of course some traders will have much more experience than indicated by their joined date conversely a recent "date joined" does not neccersarily indicate only recent trading experience. But the interesting things is that there are some that seem to have traded for a number of years are still trading. I suspect that they may find their trading returns satisfactory given time effort expended risk taken or they have money to burn enjoy doing it.

Quote:
I am simply looking for a general idea or *ballpark* ROI successful forex traders realize on a yearly basis.


In terms of average ROI my question would be: when does average become statistically significant? Surely a few years has little meaning statistically. On the other h you others may accept a few months data as valid extrapolate there.

The individual style of trading or the risk taken will also affect the outcome the answer only becomes meaningful within a specific context.

It seems to me that your question is too broad. The concept of a benchmark for trading does not exists as the styles especially vis-a-vis risk tolerance can be many they will have many different outcomes.


Quote:
I underst the point you are making in reference to the importance of money management. But that was not the intended meaning of the question.


My comment regarding money management was only a trow away comment I realise clearly now not an answer to your question. Sorry about that. I also realise only would like to add to avoid flames again that money management has not only defensive/protective but also profit imisation aspects.

All this being said I sincerely wish you a very happy enjoyable trading experience.

MidGe
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