Podcast:

How much is a good weekly return from trading the Forex market?

In this video:

00:25 – What is a good return as a Forex trader?

00:40 - JAS Funds is at +2.6% for the week

02:05 – Low drawdowns, low risk trades

02:35 – 3 trades taken on a live webinar made coaching clients +1.25%

03:17 – Learning from watching a trader in real time – Weekly webinars for clients

04:10 – 2 live webinars for US and Canadian clients this week – link below

How much would you consider is a good return? Let's talk about that and more right now.

Hi, Forex traders, Andrew Mitchem here, The Forex Trading Coach and this is video and podcast number 220.

What is a good return as a Forex trader?

I wanted to talk about what makes a good return as a Forex trader. It means different things to different people. It depends whether you have a relatively small account, whether you have a big account, whether you are just starting out or whether you're a bigger, longer term investor. Let's talk about the different scenarios.

JAS Funds is at +2.6% for the week

As an example, this week on the manager accounts that I manage as part of JAS Funds, we're up 2.6 percent. It's a great return, I'm very, very happy. If we can do that every week I'll be extremely happy. Unfortunately we don't do that quite every week, but this week has been a very, very good week.

The key for us at JAS Funds is to have low risk for trade, it's to have a low draw down and it's to have high reward to risk trades. 2.6 percent gain in one week is an exception gain and investors are very, very happy. When you're trading with millions of dollars, you've got to have very low risk and very small draw downs.

However, if you were on say, let's say a 1,000 or $2,000 account, something like that, yes you could have higher risk and it's quite easy to see how people might make say, 10, 20 percent in a week or even in a month but that's something that you can do if you're on a smaller account if that amount of money doesn't mean the world to you. If one or $2,000 is your maximum account size and that's a huge amount to you, then you need to be very low risk, understanding how to trade and almost forget about the monetary return at this stage. Again, it's a bit like a video I made a few weeks ago, you have to think like an investor, so that's a really, really important thing to look at.

Low drawdowns, low risk trades

Now as I mentioned with JAS, we're looking at very low draw downs, but an annual return, we're looking at somewhere sort of 30 percent and above and if we do that year after year, then that's an exceptional return that investors are absolutely ecstatic about and so are we as traders. Again, it's about understanding what's important for you and what type of trader you are and what account size you have and why you're trading.

3 trades taken on a live webinar made coaching clients +1.25%

I'll give you another example of some great trades, just last night I held a webinar, a two hour live webinar in European trading session for my clients and I took three trades on the session live.

Two were on the one hour charts and one was on the six hour charts. The six hour chart trade lost and I lost half of one percent and on the other two trades, we gained a profit on both. We made a net gain of 1.25 percent on that account, risking half percent. On the JAS, which is the fund management, I'm only risking a quarter of one percent and so but on my personal account, I'm risking half of one percent because it's my own account. I made 1.25 percent and so did all the clients that copied those three trades just on the webinar just yesterday.

Learning from watching a trader in real time – Weekly webinars for clients