Announcement

Collapse
No announcement yet.

Compounding or constant withdrawals ?? Which is better in forex ?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Compounding or constant withdrawals ?? Which is better in forex ?

    I have been using signals for about 3-4 years now nearly ...
    I always had the debate of compounding vs monthly or quarterly withdrawals ...
    From my own experience compounding always ans always leads u to a zero in forex ...
    No matter how good is the trader ... sooner or later there is a big probablity things will go bad one day.. either by the trader blowing .. u going onto panic on big dd .. or holding on big dd till u blow ...
    I personaly love quarterly withdrawals ... at least till u gather ir inital invested capital ... then annual withdrawals will be ideal ... but hell to compouding ...
    Having a variety of 6-7 good traders in portifolio is better than having all eggs in the best trader in the world basket ... thats if u plan to make money in forex...
    If ur working with 7 traders and 1 month one of them blows 50 % of one of the 7 accounts .. u will end breakeven this month of other traders r ok ..
    Just my humble experience..
    I would appreciate sharing other opinions of everyone
    Thanks

  • #2
    It depends on how much you invest. If you have smaller amount than I would compound it untill it reaches bigger volume. Once you have big amount invested I would take monthly profit out. But it all depends also on how much is the max DD of each trader, so you can combine all of them and calculate your exposure...

    Comment


    • #3
      Originally posted by oportunis View Post
      It depends on how much you invest. If you have smaller amount than I would compound it untill it reaches bigger volume. Once you have big amount invested I would take monthly profit out. But it all depends also on how much is the max DD of each trader, so you can combine all of them and calculate your exposure...
      I might disagree with u here ...☺
      I think u should invest 50 % on 2 shots .... the second 1 should be after u make 40 % profit ...
      This way u r guarded by ur profits ... but yet never compund a small number to 5 folds .. i have never seen it happen with me on any signal .. several things like usd/chf crisis ... eur rate cuts and others get on the way and smash months ans sometimes years of sucess..
      And they will always happen ..m part of he game ..
      Take profits until u get ur capital .. this is my idea 😁😁

      Comment


      • #4
        Last edited by dupapa; 05-12-2015, 10:43 PM.

        Comment


        • #5
          Excellent topic of discussion. Have to agree with Ben's plan above. Compound the account to a vip sized account then montly withdrawals. The chf mess really was a turning point for me and my view on forex as an investment. After this i feel more inclined to use it as extra income. Yes i will make less longer term but at least i will be able to close my eyes and sleep at night. Imagine spending 3 years watching your account grow and then get wiped. No thanks.....

          Comment

          Working...
          X