Hi, my name is Paul and I am trading forex for just over six years now. Initially I did not want to share my story but over the past year I have noticed a sharp increase of forex related stories which are not only complete non-sense, but also false and misleading. It is clear that a lot of effort goes into creating a very positive picture for new traders in order to trick them into opening new accounts. I decided to share my story so far and hope that it will reach some traders and motivate them to approach Forex trading the right way.
I want to start by saying that trading Forex is great and one of only a handful ways that people from all over the world can really improve their life from the comfort of their home. As I said, I have been trading for just over six years and this year is the first year where I can say with pride that Forex is contributing to my finances. My goal was to become a semi-professional trader. I have no intentions on quitting my job, but I wanted to supplement my income with Forex trading.
You might also be interested:
- Lacy’s FX 5+2 Profit Strategy
- Capital Needed for Successful Forex Trading
- Interview with Professional Forex Trader
- How forex trading can change your life
- Can Forex Trading Change Your Life
I started like any other new trader, without knowledge and little capital. I came across dozens of ads where brokers basically promised a rags to riches story if I opened and account with them. It made no sense to me, the math didn’t add up. I spend the next year educating myself as I believe that knowledge is key for success in any field. My motivation was not to make a $1,000 deposit and become rich the next weekend. I invested into my own education first so that I fully understood what forex trading can do for me and how to get there.
After my first year in forex, I needed to decided which strategy would be best for me. I read that many believe that you trade against big firms, brokers and professional traders which is an impossible battle to win because they have too much capital. I disagree with this point of view and say that each traders trades against himself. You are your worst enemy and the only one holding you back. Therefore it was important for me to find a strategy which suits my personality. After researching many different ones, I decided to mix-and-match and create my own by borrowing from four different strategies.
I spend the next two years testing my strategy in a live account with small deposits, no more than $250. I blew a few accounts as I fine-tuned my strategy, but the lessons learned were crucial. Not only did I improve my trading results, I also learned a lot about trading psychology which may be the biggest enemy to all traders. I don’t think trading in a demo account is smart and every successful trader I have met agrees with me.
The last three years I was building my account balance. I did this through a combination of small, monthly deposits as well as through the success of my trading strategy. I earn about 20% per year with my approach. I know what many think when they read 20%, but after researching real traders including professional ones as well as companies active in account management, I found out that 20% is actually a great annual return. Consistency is key and those who laugh at 20% year have never really traded forex to begin with.
Since this February this year, I managed to build may account to the size I need to make enough money per month to pay my rent. My goal is for forex trading to provide enough capital to pay all my bills and I think I will get there by 2020. This will allow me to be financially free and live my life the way I wish. I plan to continue working as I love my career, but having that extra income every month provides me with something I can’t even put in words.
