Thread: Is 2% exist in financial world?

Originally Posted by 4dataxman

Actually if you study the forex markets, you will see that the movements are a lot larger than 2% per day. The EUR/USD travels an average of 76 pips per day. Which when you factor in a leverage factor of 100:1, that would equate to 76% if you could hit it from top to bottom, or bottom to top in the trade day.

One also has to remember, you can lose just as much. During the time I typed this message, the EUR/USD moved 4%....

Currently there are some professional forex brokers that are able to sustain 2000% yearly, working an average of 10 months. These are the pro's, but yes, they are able to do it.

Enjoy,
4D

Couldn't agree more... even the figures are right.

I do hit the 76pips (which is only an average) on the EURO occasionally (or near) but I don't use all my capital... for safetly I only use 10% of my equity... still that is more than 14% per day. When I lose I program to lose only 20pips, then re-evaluate my studies to learn from the experience. Luckily I finally reached the point where I don't lose as often as I win.

Conclusion... It's very possible! 2% is easy! :-)

Originally Posted by sidekick

I'm not talking about leveraged futures (btw futures are always leveraged, except if you're working with trackers but that's not futures).
With futures you don't even receive a roll-over interest.
Apparently, reading your comment, you're not familiar with the spot-forex market and roll-over interest?

Hello Sidekick,

Well, only a little bit familiar.
Of course you're right, futures are always leveraged, so I shouldn't have used the word.
But how exactly are you getting the 2% then ? As I explained, you only get about 2.5 Tics a day. And that's only 0.012 pct of the GBP/JPY rate (threefold for the weekend of course) and this is way off the amount you mentioned in your earlier post.
Thanks for enlightening me.
Regards,
Max

I have spoken directly to New York traders and 2% a day is only a fraction of what can be made. MMM is right though, the banks tell us how generous they are for giving us 5% per annum - they make more than that between closing at night and opening the next day!