My Forex Trading Experiment - Crossing the $1000 Profit Mark This Week (Week 3 Sep 2017)

It has been a while since I last updated on my Forex Trading Experiment. I have stopped trading on lower 15 min/1 hr chart. My stop loss got triggered quite often due to the tight stop loss. The trading experiment will just focuses on 1hr/Daily chart moving forward. The screenshot below shows all the trades taken so far.

$1000 Profit On a $5000 Account in Less Than 2 Months!

The gain on my account is roughly 1000/5000 x 100 = 20% However, if I just calculated based on the total amount risked for the 15 trades, the gain would be 1000/(150 x 15) = 44.4%!!! If you have been following my Forex Posts, you would know I am risking $150 per trade for the potential to make $300. In total, I was risking $150 x 15 = $2250. But in reality, it would be impossible for me to lose this amount. I was following the trend on a daily chart. Unless the trends always reverse after I took it, which is not impossible but unlikely. Imagine flipping a coin 15 times and getting the same side everytime. Possible?

The amazing thing with this result is actually I was only right 50% of the time! This reinforces the risk/money management rule I was making on my first Forex Trading Post. My Risk Reward for each trade is 1:2. Without having proper money management rules in place, a trader could win 90% of the trades but still end up losing money. This also applies to other trading instruments like stocks and futures. As can be seen from the result, I may not have the best trading method which is only right 50% of the time but still end up profitable!