What is monthly average earnings for forex traders? | Forex Factory

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What is monthly average earnings for forex traders?

  • #1
  • First Post: Edited Oct 13, 2012 2:32am Oct 12, 2012 11:52pm | Edited Oct 13, 2012 2:32am
what kind of data can u get from monthly average earning??

how much does an average professional forex trader monthly earning?????

when i was a noob, and (i still considered my self a noob) my highest

monthly

earning were apprx. 600%. but when i look back the only real reason i was

able to do this were because my margin (i didn't have alot of money) so i just went ALL IN many times giving 100pips as range trading follow with the trend and ofcourse i couln't have done that if i had million dollar account. my question is how much does an average professional forex trader monthly earing?? what number would be considered as "safe" trading? there was an article about making 20%percent monthly with only just a thousand doallr and compound it for 3years
and when u add up.. wow!!!!!! i honestly believe that i can make 20% !!!
problem is however patience... by not getting caught up by greed.. and maintain cool and consistancy. and i think out of everything vey fundamental issue such as money management stop loss, take profit, ratio. are the hardest to do, i experience that winning is easy but losing is harder. it is how u win and how u lose . take bigggg win and take small losses. im still working on this issue

happy trading u guys$$
  • #2
  • Oct 19, 2012 11:18am Oct 19, 2012 11:18am
I have been trading in for 7 months. So you can understand I am not so experienced. I have earned my maximum prfot in previous month and that was $50.
  • #3
  • Oct 22, 2012 9:35am Oct 22, 2012 9:35am
its really hard to set a specific number, there is no average when the possibilities are almost limitless both in negative and positive, but one thing i tell my self is better keep your monthly earning on a positive note, even if its just cents or less, break even is not losing so its good right?
  • #4
  • Oct 22, 2012 3:11pm Oct 22, 2012 3:11pm
Quoting shanewatson
I have been trading in for 7 months. So you can understand I am not so experienced. I have earned my maximum prfot in previous month and that was $50.
Focusing on the $$$ sum is not a good idea..it might be better to keep a journal, just sayin'
  • #5
  • Oct 22, 2012 11:53pm Oct 22, 2012 11:53pm
Quoting someyoungguy
what kind of data can u get from monthly average earning??

how much does an average professional forex trader monthly earning?????

when i was a noob, and (i still considered my self a noob) my highest

monthly

earning were apprx. 600%. but when i look back the only real reason i was

able to do this were because my margin (i didn't have alot of money) so i just went ALL IN many times giving 100pips as range trading follow with the trend and ofcourse i couln't have done that if i had million dollar account. my question is how much does...
how long is a piece of string....................
The best indicator is price.
  • #6
  • Oct 23, 2012 4:14am Oct 23, 2012 4:14am
That would depend on their account balance, so even if you found about their earnings it wouldn't really enlighten you much. I suggest asking about monthly gain % instead as that would be more pertinent to everybody's situation.

No question about that, 600% monthly gain is awesome for anybody's standards. Try to remember though that trading is a get rich slow business. You don't need astronomical gains a month to become rich because of the effect of compounding.

If you're in dire need of money you shouldn't be trading anyways, as that would just add psychological pressure that would be detrimental to your trading. As I can tell from your username you have plenty of time left, so no need to rush and take unnecessary amounts of risk.
  • #7
  • Oct 23, 2012 7:15pm Oct 23, 2012 7:15pm
Honestly I would not be looking at an amount of money as a target for trading, at least at the beginning. There are many factors involved and it is more of a long term prospect than a short term monetary gain.

The best advice I could give would be to keep a trade log and journal of all the trades that you make. Look back on them and see why you either made a profit or a loss.

Most of the professional traders I know are looking at things in terms of risk vs reward, not "how much money can I make in this trade". If you have a solid risk vs reward and money management strategy in place (along with a good trading strategy obviously) then the money will come. It is all relative to how much you have and how much you are willing to risk.

In a trading house I visited in New York, the best trader (and there were some great minds in there), was trading at 68% success. You might look at this and think that none of them had any idea what they were doing, but he knew that his strategy was solid and believed in it.

He also employed a strong money management technique and never look a trade with less than 2:1 on the risk reward.

Think about this situation as a hypothetical. You have a 3:1 risk reward strategy in place - you have a stop loss equal to $100 for each trade.
If you win only 3 of those trades than you have made $900, losing 7 of those trades has a drawdown of $700, hence you have actually made $200 from only winning 30% of the time.

Focus on your strategy, money management and taking trades which are giving you a solid risk reward, and I promise the money will not be a problem

Hope this helps!
  • #8
  • Oct 23, 2012 9:48pm Oct 23, 2012 9:48pm
Quoting lcy723
That would depend on their account balance, so even if you found about their earnings it wouldn't really enlighten you much. I suggest asking about monthly gain % instead as that would be more pertinent to everybody's situation.

No question about that, 600% monthly gain is awesome for anybody's standards. Try to remember though that trading is a get rich slow business. You don't need astronomical gains a month to become rich because of the effect of compounding.

If you're in dire need of money you shouldn't be trading anyways, as that would...
That sums it up! Seriously, if you are in dire need of funds and you are new to the market, then trading is just about the worst thing you can do at the moment.
  • #9
  • Oct 24, 2012 4:29am Oct 24, 2012 4:29am
I am totally agree with gibsy99.

Your average earnings will definitely depend on your amount of the deposit, your pair and your strategy. Some people with a huge deposit choose passive trading, they can get only 10% monthly, but that will be enough.
Also I think that's not appropriate to talk about earnings in $, it's really better in pips (taking to account your time-frame).
  • #10
  • Jul 9, 2013 3:32am Jul 9, 2013 3:32am
I think it's minus maybe.
Why not create a poll to see the results? Though I think we would not say we lose too much or win too much for showing off.
  • #11
  • Jul 9, 2013 4:54pm Jul 9, 2013 4:54pm
The last reply gets my vote, and FWIW, summing up all the wins and losses is something every trader does..it's called tracking your progress though it is usually in pips and not $$$
  • #12
  • Jul 18, 2013 1:42am Jul 18, 2013 1:42am
Quoting someyoungguy
when i was a noob, and (i still considered my self a noob) my highest monthly earning were apprx. 600%.
Highest one cannot prove average. 600% is possible, but not stable I think, which I can learn from your explorer.
  • #13
  • Mar 29, 2014 3:56pm Mar 29, 2014 3:56pm
The trick if anyone can earn 5% per week devide that by the week trading days then times that by 20 and then times 12 would you be amazed then make decipline patience and your trading sysytem and stradegy be a part of keeping you on the path of comsistency
  • #14
  • Mar 30, 2014 1:46am Mar 30, 2014 1:46am
Negative.
Big sucking sound is heard as soon as account is opened.
The Trade Explorer on this thread is a good illustration
  • #15
  • Apr 2, 2014 2:36pm Apr 2, 2014 2:36pm
... A better answer is what targets do you set yourself to achieve. Nobody here wants to say how much they earn per month we get it. But aren't we all pip collectors? I'm a newbie and I am assuming at 100 pips pet week. Which is equal to 400 pips per month or 4% for that month. If we are recording or trading in a journal as we should surely we at least know those numbers. No one cares what the overall average up or downside is - Just yours.
  • #16
  • Edited 4:37pm Apr 2, 2014 4:24pm | Edited 4:37pm
Quoting aureliuscap
But aren't we all pip collectors? I'm a newbie and I am assuming at 100 pips pet week. Which is equal to 400 pips per month or 4% for that month.
I have weekly, Monthly, quarterly, and an annual DOLLAR Target not a pip target as I don't always trade the same amount of Lots. If I successfully trade a higher lot size then I might achieve less pips but more $$$.
  • #17
  • Apr 2, 2014 7:29pm Apr 2, 2014 7:29pm
I don't consider myself a pro and I'm not a newbie either. I started off with a weekly, monthly and annual target but soon realized that my style of trading does not work well with targets. I will have losses for 3-4 months straight and then have a few spectacular months and rinse and repeat.

I mostly don't hold positions for more than 2 weeks so it isn't because of 1 big winner or loser. It's all about the streak for me. So, I don't really bother with targets. I have a milestone in mind. $2 million. In the meanwhile, I transfer 1% of my account value to a savings account every month. I usually do this on a quarterly basis.

If you can consistently make 30%+ every year, you're doing amazingly well. The dollar value depends on how much capital you have. Even then, there is no guarantee that you will make the same amount every month. Most traders will have a few big winning months and a few losing months.
  • #18
  • Apr 3, 2014 3:38am Apr 3, 2014 3:38am
Hi all

I'm new to this site but happy to dialogue with anyone about my fx style. I have a few successful years under my belt now, with a few years of buildup to get here.
My monthly profit, as anyone's, firstly will always be a factor of capital and strategy, but for me also relies totally on economists predictive abilities (news releases only here).
So some months are always terrible (December. August) so I just cut my exposure and use them for data gathering/small lots. My average over last year was pretty good, but this year is already looking better (12-15% per month last year - aiming to double that this year with some big tech tweaks).

I personally do the opposite to yourself Card, I literally pull all funds I can muster into trading accounts as the return for me has outweighed the banks' paltry offerings for all the time I've done this.
  • #19
  • Apr 3, 2014 2:34pm Apr 3, 2014 2:34pm
Quoting aureliuscap
... A better answer is what targets do you set yourself to achieve. Nobody here wants to say how much they earn per month we get it. But aren't we all pip collectors? I'm a newbie and I am assuming at 100 pips pet week. Which is equal to 400 pips per month or 4% for that month. If we are recording or trading in a journal as we should surely we at least know those numbers. No one cares what the overall average up or downside is - Just yours.
Rather than setting up a specific pip target, it might make more sense to set a range..landing the exact number of pips/week is not going to be easy..
  • #20
  • Apr 3, 2014 4:31pm Apr 3, 2014 4:31pm
Average earnings are nearly zero since forex is a zero-sum game, but in fact negative because of the spread.
Domo Arigato, Mr. Roboto!
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