Forex trading is definitely risky. Not all who participate in Forex trading end up with profits. With fixed ratio money management, you will profit more rather than lose money. It will help you to maximize your money and limits your losses. It is a defensive strategy in Forex trading. Let me show you how you can turn your $1,000 to $12,000 safely in Forex trading. Follow these steps and start cashing in your profits.
Step 1: Open a Forex trading account of $1000 for every lot.
Step 2: Determine how many pips you want to gain before you increase your investment in a lot. The minimum pip to start increasing investment varies from people to people. Start with a number of pips that you are comfortable with. Let’ say you decided that 200 pips is enough to start adding to your investment. You’ll need an average of only 10 pips for a day for 20 trading days.
Step 3: Increase you’re the percentage of your lot if you achieve your minimum profits. If you haven’t reached your minimum pip, continue trading with the number of pips within your capacity. The increase of on the percentage of your lot should be in the increments of 10% percent per achieved profits.
Sample :
First 200 pips – $1,000 + (200 pips x 0.1 lot) = $1,200 as your new lot
Second 200 pips — $1,200 + (200 pips x 0.2 lot) = $1, 600 as your new lot
Third 200 pips — $1600 + (200 pips x .3 lots = $600) = $2200 as your new lot
Fourth 200 pips — $2200 + (200 pips x .4 lots = $800) = $3000 as your new lot
Fifth 200 pips – $3000 + (200 pips x .5 lots = $1000) = $4000 as your new lot
Sixth 200 pips — $4000 + (200 pips x .6 lots = $1200) = $5200 as your new lot
Seventh 200 pips — $5200 + (200 pips x .7 lots = $1400) = $6600 as your new lot
Eight 200 pips — $6600 + (200 pips x .8 lots = $1600) = $8200 as your new lot
Ninth 200 pips – $8200 + (200 pips x .9 lots = $1800) = $10000 as your new lot
Tenth 200 pips – $10,000 + (200 pips x 1 lot = $2000) = $12000
ABOUT THE AUTHOR: Timothy Stevens is a Forex Options Trader
