Lets say you get one of these trades per day. You win 2/3 of them. You win 1.5x what you lose/risk.
Profit factor = (2/3*1.5) / ( 1/3*1) = 3
Expectancy = ( (2/3*1.5) - ( 1/3*1) ) / 1 = 0.667
So if you risk a dollar you get on average 0.66 return.
Without compounding you want 10k per month. So thats close enough to $500 per day.
So, 1 trade giving .667 per dollar risked ... that 500/.667 = $750 risked. So how big an account do you need if that is 2% of your account risked per trade?
Account = 50*750 = $37,500
But allowing a bit for all the problems most will experience along the way the smallest account you'd want to use to seek 10k per month is probably 50k. If all goes well and you can get the results above consistently.
Profit factor = (2/3*1.5) / ( 1/3*1) = 3
Expectancy = ( (2/3*1.5) - ( 1/3*1) ) / 1 = 0.667
So if you risk a dollar you get on average 0.66 return.
Without compounding you want 10k per month. So thats close enough to $500 per day.
So, 1 trade giving .667 per dollar risked ... that 500/.667 = $750 risked. So how big an account do you need if that is 2% of your account risked per trade?
Account = 50*750 = $37,500
But allowing a bit for all the problems most will experience along the way the smallest account you'd want to use to seek 10k per month is probably 50k. If all goes well and you can get the results above consistently.