At Trade Room Plus we have never met a trader who has built a small account into a significantly large one by compounding their account on every trade they take. In fact all the data we’re seen from every broker we’ve ever worked with has never shown a successful trader who has carefully and methodically grown their trading account through compounding their trades. A compound interest trading calculator will certainly not help you become a successful trader.
This article we’ve published on Funded Trading Plus explains why and suggests 5 steps to help you to grow a small forex or futures account into a much much bigger one. You can read the full article by click here.
Here is a summary of the 5 steps:
Step 1: Work out how much it will cost you to live for the next 6 to 12 months. Include your rent or mortgage, your food and all the costs you will be likely to face.
Step 2: If you can’t cover this cost with savings or other income you will need to find yourself a part-time position that provides enough for your basics and leaves time for trading.
Step 3: Allocate a reasonable portion of each day for trading and a portion for trading education this does not need to be the whole day and will need to leave space in your day for rest, leisure and fitness.
Step 4: Trade a small account without putting yourself under the pressure to grow the account. Your aim is to develop your trading expertise and document your trading success.
Step 5: Get yourself funded by an online proprietary trading firm. The Funded Trading Plus Talented Trader Program pays talented traders a $20,000 starting cash bonus and gives them a $500,000 trading account.