How much do you earn from trading each month?

What are the monthly trading profits?

There is no single answer that applies to everyone when it comes to monthly trading profits in Forex, as they depend mainly on your skills, capital, and discipline.

However, in general, monthly profits vary widely, but many sources indicate that a monthly profit of 5% to 20% of capital is considered a good and realistic performance for disciplined traders, while beginners may achieve lower profits at the beginning of their journey.

More important than profit is how to protect your capital, which is the foundation of long-term success.

How to protect your capital and avoid losses

- Education and knowledge:

Getting the right education in Forex trading is the first step on the road to consistent profits.

 

- Set a fixed risk percentage for each trade:

The golden rule is to risk no more than 1% to 2% of your capital on any single trade.

This means that if your account is $10,000, you should not risk more than $100 to $200 per trade.

 

- Always use stop-loss orders:

A stop-loss order protects you from large losses and automatically closes the trade when the market moves against you.

Set your stop-loss point before entering the trade.

 

- Make sure the risk-to-reward ratio is appropriate:

You should strive to ensure that the expected profit from any trade is greater than the potential loss.

A ratio of 1:2 or more is considered excellent, meaning that you risk $100 to achieve a target profit of at least $200.

 

- Control your trade size:

Over-trading is one of the biggest causes of rapid losses.

Make sure that the lot size you are trading is appropriate for your account size and your stop-loss level.

 

- Avoid excessive and emotional trading:

Trading out of boredom, greed, or trying to quickly recoup losses usually leads to poor decisions.

So stick to your trading plan and take a break if you feel overwhelmed.

 

- Practice well and start with a demo account:

Never start trading with real money before you have tested your strategy and practiced well on a demo trading account.

This builds your confidence and skills without any financial risk.

 

And finally, remember that successful trading is a marathon, not a sprint.

Small, consistent gains are better than risky, quick wins. The journey requires continuous learning, patience, and a lot of discipline.