For some, 17 years might seem like a long time ago, but for others it’s just recent history. But what if, 17 years ago, you could have started a process that would have made you a forex trading millionaire now, today? What if you could go back in time and talk to that younger version of you, and try to convince yourself to get started now, TODAY, for cryin’ out loud!
OK, you can’t do that. But what you CAN do is imagine that your future self, from 17 years hence, has dropped by for a visit. “Just stick with it,” your future self says, “and I’ll be living the forex dream!”
By now you’re probably wondering if Scott has finally gone ’round the bend, but here’s what prompted all this. I recently joined a discussion on Forex Factory regarding this article about trading small forex accounts. One of the participants was arguing that it was a waste of effort to trade a small account. This poster pointed to an example in the article of a monthly 5% return on a $1000 account, which would amount to making $50 in a month.
Not only did I have to chime in and disagree, but being the math geek that I am, I whipped up the numerical example below. It illustrates what a 50% annual return on an initial investment of $1000 would mean over the next 20 years. This is actually a little less than the 5% monthly return example in the article, but it’s just for illustration purposes anyway. The bottom line? You hit a million dollars in just over 17 years.
So there you have it. And by the way, my own account, even after the third straight weekly loss in a row (it happens), has returned about 55% in just about a year. So it’s not an outlandish goal, especially for a high margin, volatile product like forex. And of course it’s true that there are no guarantees. You might have some bad years, but you might have some stellar years too. So everyone’s results will vary. But if you don’t try…
So. Where will YOU be in 17 years?
As always…keep pipping up!
To get more details on how I trade, take a look at the Trading Profitably page.
NOTE: As always, comments are closed due to WordPress spambots. However, to comment on this or any other post, just go to my Forex Factory journal or Cap’s Forex Musings on Investors Hub.