A. First of all. No, it is not possible to earn the same results with a portfolio of just R5,000.
Second, you’re doing absolutely nothing wrong.
I’ll explain below why…
The calculations you’re looking at, are based on a person taking a trade and paying an initial margin (deposit) of R5,000 into a trade.
The percentage gain or percentage loss in the table, are based on how much you would gain (bank) or lose based on the initial margin amount.
The reason why we use these percentages and figures is because everyone has their own portfolio value.
So, we can’t base how much you would earn on your portfolio but rather base it on how much money you would have banked or lost with depositing R5,000
into a trade.
Let me give you an example with a portfolio value of R85,000 and on our recent Anglo Gold CFD trade where we banked a 44.97% gain.
If you deposited R5,000 into the trade with an R85,000 portfolio and you risked around 30% of the initial margin, based on where you place your stop loss, then you would have stood to lose R1,500 (R5,000 X 30%) or R1,500 (1.76% XR85,000) risk of your total portfolio.
The 30% risk is R1,500 on the R5,000 you placed in your trade.
The 1.76% risk is also R1,500 but on your R85,000 total portfolio value.
As the trade went in our favour, we banked a 44.97% gain.
This means, with your R5,000 initial margin you would have banked a R2,248 gain.
The 44.97% gain is R2,248 on the R5,000 you placed in your trade.
The 2.64% gain is also R2,248 but on your R85,000 portfolio.
I hope that helps clear things up.
What a Red Hot Storm Trader has to share:
“I went big on Sasol and made a great profit (R92k in one day!) I appreciate your guidance with a simple and robust system - Keep them coming”~ Chris
Q. “Timon, I read somewhere you have already banked 6 winning trades for the year from your Red Hot Storm Trader Service. I am not a member yet, and so I might be asking for classified information. But I was wondering if you could send me your service’s track record to date for 2022? This will help make my decision to join so much easier. Thank you.”
A. Yes absolutely.
I believe in transparency 100%. Even if I was in a losing streak, I would still send you my track record (regardless of whether you’re a member or not).
Here it is…