– Guys, it's time to get back to reality.
I see many people online will talk about what it takes to succeed in trading, how big of an account youneed to trade for a living.
But all these people talking about this kind of missed a big point, which is the math behind it.
So I wanna go on the whiteboard, show you guys what that's about, and what it truly takes tomake a living from trading.
What I wanna show you guys in this video is how to make $100 per day with Forex.
If you live in Canada, isnot a lot, but okay to live.
If you live in Thailand, that's a lot of money, that's like big.
So, let's just say we're gonna do 100 to $200 per day, trading.
And as, I know that is something a lot of people wanna achieve, so let's go with these numbers.
And you'll see thatit's only a small tweak, it's gonna adjust and makeyou do either 100 or $200.
$100 a day, it's gonnabe at least $500 a week, if you only work five days a week.
And we won't go throughmaking money in the weekend, We'll just put it as a week and here's gonna be $1, 000 a week.
There we go.
Now we need to think about what kind of strategy you're gonna use to get that kind of money.
And chances are, if you're watching this, and if you see my styleof trading and like it, you're probably gonna want to spend all day at your computer trading.
So, let's just say that you're gonna take four to five trades a week, for me it's a limit three to four, but let's just go with four to five.
And I'm not gonna use five, 'cause it's gonna be hard to calculate, let's just use four.
We'll use a basic strategy where you have a twoto one reward to risk.
And that means you're gonnaget every time you win two, and every time you lose, you lose one, that's simple.
So we'll just go with the idea that you will lose half your trade.
So every single week, you're gonna have two losingtrades and two winning trades.
Those ones are gonna give youtwo times two is gonna be 4%.
And the losing trades aregonna give you minus 2%.
So overall, you get a plus 2% per week, okay, that's gonna be your return.
And we'll talk about the return afterward and what it means and everything.
But just, that's just a basic.
That 2% has to be equal to your $500 a day or your $1, 000 day.
What kind of account would you need? Well, you will need to havebasically a $25, 000 account, that's what you will need.
And if you are able to get on 25, 000, which is not that much, if you are able to get 2% per week, you would have your goal of $500 a day because 2% of that is $500.
To recap, if you wanna make $500 a week, which is $100 per working day, if you work five days a week, you will need have an account of $25, 000.
On the opposite side, $1, 000 per week.
You know, which I thinkyou can live comfortably or okay in pretty muchmost countries, $200 a day.
You will need to havean account of $50, 000.
Now, we just wanna makesomething very clear and is the fact that if youneed that money to live, well basically all the way to gain, so the $500 a week that you take to live, if you take it from your trading account, you're never gonna grow, which means that your account is alwaysgonna be in a flatline, okay, it's always gonna be this way, you're gonna make some money, and you're gonna take it back, make some money, take it back, and you're always gonnahave the same account, okay? The same 25, 000.
And the same goes hereif you need it to live, and that's important to mention.
Now, the other thing we need to mention is how you're getting into your money.
As most people expect that their money is gonnacome every single week.
And that is not the case.
Your accountant is gonna start to say, here 25, 000 and you're probably gonna make some money maybe in the beginning or we begin to lose, doesn't matter.
And then maybe you're gonnastay flat for some time, then maybe you're gonnago down a little bit, and you're gonna go back up, and then you're always gonna be in some sort of cycle like this.
But if you take theslope, like the average, you're probably gonna arrive at something of $100 per day, very, very important to mention.
But the message is thatyou could get $100 a day, which is enough to live in some countries, on a quite small account, 25, 000 isn't that much, and you could be able to live from it.
But depending whether your goal is to live at those are two differentthings to live or to grow, okay at this point, you cannot do both.
You can only do one.
And if you put more here, well, you're gonna be ableto live better over time, okay and that's the point.
Now to answer the question of some people watching this video.
I know a lot people willsay I don't have 25, 000 what do you do with that? Well, this is where tradingfor the people comes in.
Okay, if you don't havethis 25, 000, you take OPM, which is other people's money, and that's gonna allow you to trade without having the money yourself.
And it's the way I've prefer to do it, because instead ofsaving that whole money, which is gonna take a while, you might as well trade for the people, and at least you can build an account with some of the money you gain.
So let's say that you are to do this well, rule of thumb says that, you're probably gonnaget between 25 to 30% of the money that you make on an account.
So that being said, if you were to make thesame amount of money here, you would need basicallythree to four times the amount of money, 75 to 100 K.
So 2% of this, that you make every week would be $2, 000, two k.
Now it would get only 25%, $500, so the same applies.
Your job now is to figureout which one you wanna do.
Do you have the 25 K, or the 50 k? Or do you not have the money, and that's gonna kind of differentiate what you have to work on first.
But in any case, the very first step let me make this big, is very important.
The first step to every singlething, is to be consistent.
And by that we mean beconsistent in your result.
Although that's part of it.
What we will talk about here is be consistent in your action, because those actions lead to result.
And depending on where you wanna go, then there's two ways you can go and we talk about those two ways.
Either you trade for people, which means you have to find investors, it might be more difficult, but it's kind of easier, because you don't have to, you have your own money.
If you have the money then totally fine, set some money apart forwhen you're consistent.
And that's gonna make theprocess much easier for you.
But that's pretty much howyou make 100 to $200 a day, you need to have between 25, 000and $50, 000 in your account.
And don't forget that we didn't go with like super crazy capture yes, you don't have to sitall day at your computer, you only need four to five setup per week, let's say four and you're gonnalose on half of those setup, which means that every trade you take has kind of the same chanceof being a loser or winner.
I'm curious to know down below what type of path you're gonna take and what is your next step.
So if you learn anything from this video, please comment below.
Let me know what you learned.
I'll do my best to keep you supported and to help you out with that.
Depending on whether you guys want to trade for otherpeople or for yourself.
Please give a like of the video that would be really appreciated.
New video tomorrow as always, and I'll see you guys there, Ciao.