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Do you think compounding is important?


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If we wanted to get higher amount of profit, we must use higher capitals too. It's not suprising because higher capital will

give chance more to get higher profit but in the similiar percentage. Many traders told me that we could use compounding

if we wanted to make our profit is higher, what do you think about that? Is it important to compound our account?

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  • 3 weeks later...

YEa, that's could be better option as we will earn extra profit, most traders like me are trying to find this type better earning strategy, but who need the money that they are getting as profit for their household they should not use it, But for those who are earning & save to their bank account it could be perfect option to earn better & save the better earning as saving account...

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@chuna

Compounding system is good if we made plan to do that. It's bad if we compound all of our profits and we never withdrawn it. That is risky to our psychology

if something happen in our account. We can feel we didn't get anything in all of our hard working so far and it made us lose spirit to trade again. Compounding

is good if we added it step by step, slowly but sure so we can build our psychology too.

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One can do compounding but they must be withdrawing at the same time. Maybe it will be good to withdraw 40 percent of their profits and compound the rest. I did not like compounding before, i always withdrew all mt profits but now i think i will try this strategy to see how effective it will be.

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yes now i also thinking about this to compound some of my profit but i also prefer not more 25 or 30% . actually it help to grow our capital and if loss than support to secure i initial amount which help us psychologically thinking that we lost profit not initial balance . its only my personal feeling and getting help only from few days .

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  • 2 weeks later...

@wasi

I didn't think so, for each trader will be different to run strategy. If you used some percentage to compound your account,

that will be faster to get your original investment. But each person has different point of view, taking our profits is okay too.

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  • 2 weeks later...

ok i would say compounding is big opportunity to get higher profit . May be some people see that it wasting profit value, but it still for me good for more income . I look at compounding from two sides: first for hyip, it is too risky to allow compound of profit and second for forex its vital key

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  • 2 weeks later...

@hyipreviewblog

That's right if you had a little money so you must compound your capital to earn higher amount of profit but if you already had huge capitals

so you didn't need to compound it again. But if you wanted to compound your account although the capital is high, so it's okay.

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  • 1 month later...

You can use compounding if you think your strategy is 100% profitable. Componding is a great idea to increase your capital quickly but we have to be aware that there are risks. I would a suggest set aside some profit and then try componding. By doing that, you do not have to face the predicament of losing all your money.

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You can use compounding if you think your strategy is 100% profitable. Componding is a great idea to increase your capital quickly but we have to be aware that there are risks. I would a suggest set aside some profit and then try componding. By doing that, you do not have to face the predicament of losing all your money.

 

maybe there is a 100% profitable strategy but we can always profits on every trading so by using compound strategy how about if when you put your compound money you get loss when trading....that will make you loss a lot and for me it can make my emotion unstable and can loss a lot more on next trading....

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@HYIPReviewBlog

 

It's very nice of you to mention the emotional factor here. I have experienced the rage after a failed compounding plan. I can go like "Oh my god, all the painstaking trades I have make in the past month are all in VAIN, in VAIN!!!" It is not just about losing money. It is really disheartening. It's a nightmare. So, for your own sake. Please do not try 100% compounding in forex.

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According to compounding rule there will be a change of 100% compound of our deposit. Where compound can make overall 10 to 20% sure increment , but for 50+ we have to take high risk, I suggest you to use 0 compound or occasionally follow to latest update sometime we can take 25% round.

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I suggest only compound a little of your profits if you really sure about position you want to open.

But on every of my trading I will never compound, just use 10% of my principal to handle margin and if market still goes wrong way I will cut loss and wait for other signal to open new position. This will reduce your risk to minimum I guess.

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  • 2 weeks later...

That's true, using a big capital will give us a big profit in return. But also cause a huge risky in every trade,. Compounding our money is a one way to build our account bigger and bigger, but in compounding our money the risk that we can accept must be considered, I think risking only 1-2% of our total amount will be a good one.

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That's true, using a big capital will give us a big profit in return. But also cause a huge risky in every trade,. Compounding our money is a one way to build our account bigger and bigger, but in compounding our money the risk that we can accept must be considered, I think risking only 1-2% of our total amount will be a good one.

 

With small principal you can't get a good profits it you only play with 1% or 2% of your margin. You need a big capital for that. And I agree that using compound method is very risky cause we can get an accurate analysis every time we make trading. So for safety and reduce risk I think it is better using same amount on every trading you make.

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@winzpc

Not always like that. Huge capitals didn't guarantee you to gain huge profits but your good analysis that will more determining it.

But higher capitals will give you more profits in dollars and sometimes it will be safer to use higher capitals because it can hold

more pips when it was floating so it is possible to hold our account when there is high pips of floating minus.

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