Making small gains each day + losing it all in 1 day

That is quite obvious. The trader let his losing trading positions run into huge losses.

A trader's risk/reward (and trading itself) will be terrible if he focuses on protecting profits in every single trade, commonly by taking premature small profits.

Compounding is the one of the least important elements in trading. If you are profiting consistently, who cares if you compound or not?

The problem is that is not the case for most traders.

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hey alastor...... what are you referring to with 'compounding'.... are you talking about adding additional trades, increasing your lot size , adding to winners or adding to losers???.....

i can't figure out your actual meaning..... thanks......h

I think the OP meant increasing position size as one's account size grow over time.

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hey alastor..... thanks....
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btw, regarding you traders performance thread, peyton has only 1 month left before her account will have been open your required 3 months.... she has only traded 2 1/2 though.....

you might be surprised......h

Thanks for the interest.

It may happen in many instances. We work for the whole day and try to earn smaller to moderate profit but one wrong trade decision can snatch the whole amount in just a second. So it is the responsibility of us to become aware while choosing trades. We should decide and determine which trend is significant and which trade decision is wise and which is not. And with the proper trading skills and knowledge this task can be a little easy so we should try to acquire adequate trading skills and proficiency first.

What you need it's 30 pips a day to keep employment away.
Check ADR on GBPJPY. No need to watch another pair. 5 min TF. SL max 30 pips.Take profit from 30 pis up.
Broker must allow to open hedge position.Sometimes I close loosing trade with 10-20 pips loss.Sometimes I take 10-20 pips profit.All depends on price action.No indicator just Heikin Ashi candels and 5 and 21 EMA.
As a money management. With 1000$ you can trade 3% risk per trade,it's 30$,with 30 pips stoploss it's 1$ per pip.
With minimum 600 pips monthly you can do 600$ profit from 1000$.
Why you talking about 5% monthly ????
With 5000$ you can risk 150$ per trade 150/30SL = 5$ per pip.Do your math.Last month 23 winnig trades 12 loosing,Pips earned - 1080.
Remember never experienced 10 loosing trades.Not all lost trades were 30 pips each.Some of them are less.
No all winning trades were 30 pips.Few of them less and some of them more,even 100 and 150 pips.
No trades are kept overnight.I usually wake up 3 hrs before London open and start looking for opportunities on 5 min TF.
Sometimes I make 30 pips before Frankfurt open.
Please spare me talks about being millionaire in 2 years.I don;t do compounding,I do not raise stake per pips.I got my plane I made from experience and I'm trying to follow it. Rinse,wash repeat.