HarryPotter Posted September 21, 2013 Share Posted September 21, 2013 One can do compounding but they must be withdrawing at the same time. Maybe it will be good to withdraw 40% of their profits and compound the rest. I did not like compounding before; i always withdrew all mt profits. Quote Link to comment Share on other sites More sharing options...
ivan Posted September 21, 2013 Share Posted September 21, 2013 If you used some percentage to compound your account, that will be faster to get your original investment. But each person has different point of view, taking our profits is okay too. Compounding is good if we added it step by step, slowly but sure so we can build our psychology too. Quote Link to comment Share on other sites More sharing options...
StillAlive Posted September 22, 2013 Share Posted September 22, 2013 With big investment I'm sure no needs to do compound because you have already earn a big profit. So I think it's depending with how big our investment to make a compound decision. It's very beneficial if we are able to use it properly. But it would be very detrimental if we do not know how to earn income. Quote Link to comment Share on other sites More sharing options...
standart Posted September 22, 2013 Share Posted September 22, 2013 depend on traders, when they are thinking that they need to compound their profit, they can withdraw it half. however, if they are consider to increase the capital, usually they are let the profits keep in trading account to enabling them to use higher margin per trades. or when trader use high capital already, probably they will withdraw all the profit. Quote Link to comment Share on other sites More sharing options...
Samar Posted September 23, 2013 Share Posted September 23, 2013 vComponding is a great idea to increase your capital quickly but we have to be aware that there are risks. I would a suggest set aside some profit and then try compounding, by doing that you do not have to face the predicament of losing all your money. Quote Link to comment Share on other sites More sharing options...
sakai Posted September 23, 2013 Share Posted September 23, 2013 To get better profit you need to compound your funds if you already had huge capitals so you didn't need to compound it again. I suggest you to use 0 compounds or occasionally follow to latest update sometime we can take 25% round. According to compounding rule there will be a change of 100% compound of our deposit. Quote Link to comment Share on other sites More sharing options...
StevenBendre Posted September 23, 2013 Share Posted September 23, 2013 For me, on every of my trading I will never compound, just use 10% of my principal to handle margin and if market still goes wrong way I will cut loss and wait for other signal to open new position. This will reduce your risk to minimum. Quote Link to comment Share on other sites More sharing options...
HarryPotter Posted September 25, 2013 Share Posted September 25, 2013 Compounding our money is a one way to build our account bigger and bigger, but in compounding our money the risk that we can accept must be considered. We have only compound a little of your profits if you really sure about position you want to open. Quote Link to comment Share on other sites More sharing options...
ivan Posted September 25, 2013 Share Posted September 25, 2013 Using compound method is very risky because we can get an accurate analysis every time we make trading. So for safety and reduce risk I think it is better using same amount on every trading you make. Huge capitals didn't guarantee you to gain huge profits but your good analysis that will more determining it. But higher capitals will give you more profits in dollars and sometimes it will be safer to use higher capitals. Quote Link to comment Share on other sites More sharing options...
StillAlive Posted September 25, 2013 Share Posted September 25, 2013 Well, Using a small capital always want to open more position to gain more profit and sometime make me can control my emotion that cause me a loss. Comounding is good option especially if you have such a good profitable strategy. But it also has some risk especially to those who go with 100% compoudning though a little of your profit is ok to add to your capital to increase your capital. Quote Link to comment Share on other sites More sharing options...
Samar Posted September 30, 2013 Share Posted September 30, 2013 Compounding is not advisable for a newbie to compound because the higher the capital the higher the losses will be. If you compound your all profit then on a loss day your entire capital that include profit also will be at risk. Quote Link to comment Share on other sites More sharing options...
sakai Posted September 30, 2013 Share Posted September 30, 2013 I only take the profits every time I have it so I can made another good and fresh start to make another profit with the same set up we had so it will be more familiarize and easy to do it again. It will increase amount of capital and so we can expect greater profits but by doing this we are risking the profit earned along with capital and so i rarely compound and withdraw profits time to time. Quote Link to comment Share on other sites More sharing options...
StevenBendre Posted September 30, 2013 Share Posted September 30, 2013 I see that most traders like me are trying to find this type better earning strategy, but who need the money that they are getting as profit for their household they should not use it, But for those who are earning and save to their bank account it could be perfect option to earn better and save the better earning as saving account. Quote Link to comment Share on other sites More sharing options...
HarryPotter Posted October 1, 2013 Share Posted October 1, 2013 Yea, actually compounding system is good strategy but it's risky too because if we made mistake, we could lose higher amount of bucks. But if we could make good analysis, our profit will be higher too. So it's depending on us when we must use this compounding strategy. Quote Link to comment Share on other sites More sharing options...
StillAlive Posted October 1, 2013 Share Posted October 1, 2013 It may be useful in some cases but it has big risk as well as big reward and it depend fully on our skill in forex. Actually personally i still don't like this because sometime more loss but to make capital big it's a good idea i think. We could use money management and risk management to control it. It will limit our risk of loss although we learned to use higher amount of lot size. Quote Link to comment Share on other sites More sharing options...
ivan Posted October 1, 2013 Share Posted October 1, 2013 Newbie are supposed to withdraw all their profits when they trade because forex trading is a risky business and must be followed with appropriate care. Compounding system is good if we made plan to do that. It's bad if we compound all of our profits and we never withdrawn it. That is risky to our psychology if something happen in our account. We can feel we didn't get anything in all of our hard working so far and it made us lose spirit to trade again. Quote Link to comment Share on other sites More sharing options...
Samar Posted October 2, 2013 Share Posted October 2, 2013 Well, I think that for each trader will be different to run strategy. If you used some percentage to compound your account, that will be faster to get your original investment. But each person has different point of view, taking our profits is okay too. It's very beneficial if we are able to use it properly. But it would be very detrimental if we do not know how to earn income. Quote Link to comment Share on other sites More sharing options...
sakai Posted October 2, 2013 Share Posted October 2, 2013 Compounding is good if we added it step by step, slowly but sure so we can build our psychology too. One can do compounding but they must be withdrawing at the same time. Maybe it will be good to withdraw 40% of their profits and compound the rest. I did not like compounding before, I always withdrew all my profits but now I think I will try this strategy to see how effective it will be. Quote Link to comment Share on other sites More sharing options...
StevenBendre Posted October 2, 2013 Share Posted October 2, 2013 Actually to get better profit you need to compound your funds if you already had huge capitals so you didn't need to compound it again. But with big investment I'm sure no needs to do compound because you have already earn a big profit. So I think it's depending with how big our investment to make a compound decision. Quote Link to comment Share on other sites More sharing options...
ivan Posted October 8, 2013 Share Posted October 8, 2013 I think that using a big capital will give us a big profit in return. But also cause a huge risky in every trade. Compounding our money is a one way to build our account bigger and bigger, but in compounding our money the risk that we can accept must be considered, I think risking only 1-2% of our total amount will be a good one. Quote Link to comment Share on other sites More sharing options...
StillAlive Posted October 8, 2013 Share Posted October 8, 2013 You can't get good profits with small principal. You only play with 1% or 2% of your margin. You need a big capital for that. And I agree that using compound method is very risky because we can get an accurate analysis every time we make trading. So for safety and reduce risk I think it is better using same amount on every trading you make. Quote Link to comment Share on other sites More sharing options...
HarryPotter Posted October 8, 2013 Share Posted October 8, 2013 We have only compound a little of your profits if you really sure about position you want to open. But on every of my trading I will never compound, just use 10% of my principal to handle margin and if market still goes wrong way I will cut loss and wait for other signal to open new position. This will reduce your risk to minimum. Quote Link to comment Share on other sites More sharing options...
sakai Posted October 9, 2013 Share Posted October 9, 2013 About me, I see that huge capitals didn't guarantee you to gain huge profits but your good analysis that will more determining it. But higher capitals will give you more profits in dollars and sometimes it will be safer to use higher capitals because it can hold more pips when it was floating so it is possible to hold our account when there are high pips of floating minus. Quote Link to comment Share on other sites More sharing options...
Samar Posted October 9, 2013 Share Posted October 9, 2013 if I have a huge capital then although I open with small lot will give me a big return and satisfied me, but my position is considered with a good analysis first. So for me now that using a small capital always want to open more position to gain more profit and sometime make me can control my emotion that cause me a loss. Quote Link to comment Share on other sites More sharing options...
StevenBendre Posted October 9, 2013 Share Posted October 9, 2013 Compounding is good option especially if you have such a good profitable strategy. But it also has some risk especially to those who go with 100% compounding though a little of your profit is ok to add to your capital to increase your capital. As if you compound your all profit then on a loss day your entire capital that include profit also will be at risk. Quote Link to comment Share on other sites More sharing options...
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