How much gain is realistic ?
DDargo posted:
Too high targets will lead to burning the account. My target is ca 3-5% ... monthly with a strict control of drawdown. It makes sense if the capital is reasonable and gives you return high enough to satisfy your expectations (for live costs or at least nice extra money to your salary) If you have an account with low capital- no chance to be careful and not overtrade.
Seems target is much higher now, and what is worse there is no DD control at all. No SL, huge floating loss.On equity basis, year is on minus. Very bad.
3% per day looks attractive on paper, but mathematically that means about 1,000% per year compounded - numbers that even the best hedge funds in the world don't achieve consistently.
The problem you describe (making 20% and then losing everything) is exactly the point: without rigorous and automated risk management, emotions destroy your gains.
From experience, more realistic targets for sustainable trading are in the range of 3-8% per month, not per day. And the key isn't maximizing gains, but minimizing losses during unfavorable periods.
This is exactly why I developed a bot that takes emotions out of the equation - spread monitoring, candlestick pattern filters, automatic position limits. When the market is too volatile or there are news events, the system stops on its own instead of letting you overtrade.
Greg081 posted:3% per day looks attractive on paper, but mathematically that means about 1,000% per year compounded - numbers that even the best hedge funds in the world don't achieve consistently.
The problem you describe (making 20% and then losing everything) is exactly the point: without rigorous and automated risk management, emotions destroy your gains.
From experience, more realistic targets for sustainable trading are in the range of 3-8% per month, not per day. And the key isn't maximizing gains, but minimizing losses during unfavorable periods.
This is exactly why I developed a bot that takes emotions out of the equation - spread monitoring, candlestick pattern filters, automatic position limits. When the market is too volatile or there are news events, the system stops on its own instead of letting you overtrade.
Yeah, the compounding math is the reality check people skip. I agree the “20% then give it all back” cycle usually comes from no hard risk rules. A bot can help with discipline, but it still has to prove itself across different market conditions. Do you have a live track record or a Myfxbook link showing the drawdown, and how it behaves during choppy periods?
AlexanderSchatz posted:MawinTrading posted:
My results are realistic and I practice it every day
Respect: 2.5 % /day!
If you only had 1000 in each account, your accounts would be 377 millions heavy after 2 years. Is that right?
Daily targets like 3 percent sound nice but they push people into overtrading in my experience. A monthly goal with low pressure and strict risk per trade worked much better for me
Daily targets sound nice until you live them. The market doesn’t hand you 3% every day, and chasing that usually creates overtrading. The bigger clue is what you already said, you made money then gave it back. That’s not a return problem, it’s a control problem. I’d aim for steady months and focus on keeping the bad days small. If you can do that, the good days take care of themselves.
Three percent daily sounds achievable in short bursts, but maintaining that pace is unrealistic because market conditions change. The more you push for fixed daily targets, the more you force trades. A realistic approach is risking small per trade and letting the month play out naturally.
It is actually relative to the risk and the strategy being used. Higher returns usually come with higher risk.
