1. Calculate Your Total Monthly Expenses
Before deciding how much you need to earn from trading, you must know exactly how much you spend in a month.
Include:
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Rent or mortgage
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Utilities (electricity, water, internet)
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Groceries & food
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Car instalments & fuel
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Insurance & commitments
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Personal spending
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Savings allocation
Once you have the full number, you now know your minimum monthly requirement.
Example:
If your total expenses are $3,000, that is the amount your trading profits must cover before you can consider trading as a sustainable income.
2. Divide Your Expenses by 30 Days
Trading should be approached daily, not emotionally.
Breaking your target into a daily model helps you become more consistent and disciplined.
Using the same example:
$3,000 ÷ 30 days = $100 per day
This means your focus is not to “get rich.”
Your focus is simply to hit $100 a day, consistently.
3. Your Monthly Goal Should Not Exceed 5% of Your Initial Deposit
This is where most traders go wrong — they aim for impossible percentage returns.
A healthy, sustainable target is 5% growth per month.
To hit your monthly requirement without overtrading:
Your capital must be enough so that 5% = your monthly expenses.
Example:
If your expenses are $3,000 per month, and you want your target to be only 5%, then:
Capital required ≈ $60,000
Because:
5% of $60,000 = $3,000
This ensures:
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Lower risk
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Lower emotional pressure
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Lower chance of blowing your account
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Higher longevity as a trader
Most traders fail not because they are bad — but because their capital does not match their expectations.
4. Draft Your Daily KPI and Track It
Trading without a KPI is like running a business without direction.
You should create a simple KPI sheet:
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Daily target (Example: $100/day)
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Maximum loss limit
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Maximum number of trades
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Emotions journal
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Market session traded
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Whether you followed your plan
Put this KPI in:
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Google Sheet
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Calendar reminders
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Trading journal
Your job is not to win every day.
Your job is to follow your system every day.
5. Choose a Trading Pair That Suits You
Not all traders are meant to trade the same pair.
Find the pair that matches your style:
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If you like fast movements → XAUUSD / NAS100 / GBPJPY
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If you prefer slower, steady moves → EURUSD / AUDUSD
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If you want structured behaviour → USDJPY
Master one pair first before adding more.
6. Identify the Best Volatility Time (Asia, Europe, or US Session)
Every trader has a session where they perform best.
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Asia Session: Slow, steady movement
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Europe Session: Increased volume, clean setups
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US Session: Highest volatility, biggest opportunities
Trade only when:
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Liquidity is high
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Market is active
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You are mentally fresh
Trying to trade every session will burn you out.
7. Start Your Process — Consistency Over Excitement
Once you know:
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Your monthly expenses
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Your daily target
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Your capital requirement
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Your pair
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Your volatility session
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Your KPI system
…you now begin the real journey.
Trading is not about “finding the perfect strategy.”
It is about building a repeatable process and following it without fail.
The goal is consistency, not adrenaline
