Is average consistent 3 R profit per month realistic? The 3 R profit can be from any systems with positive expectancy for example 50 % WR with 1:2 RR 6 trades per mo or 66.66 percent WR 9 trades per mo . Result net profit 3 R per mo
yes, if you have 6 R or 12 R as max. drawdown on a given month. Then it is very realistic. But do not expect this from any EA, there is no such system on the MQL5 market going forward. With Monte Carlo Simulation you should expect 10 to 15 loss trades in a row with 50% to 60% win rate. So the max. drawdown you need to expect should be minimal 10R. So if you risk 2% per trade you can make here 6% monthly with up to 20% to 30% max. drawdown. This is realistic on a good strategy but not on a system especially built with Metatrader.
See here this Monte Carlo Equity Curve Simulator. Just play around with the numbers in the settings to get a feeling what is possible and what max. loss in a row to expect regarding to the win rate. https://www.ayondo.com/de/tools/equ...=1&startEq=1000&risk=1&riskType=0&scaleType=0
No "profit expectations nor projections per month" are realistic... just fantasy and hope. For all trades, you should have a "reason" (either technical/fundamental/news reaction") for a reason to make a bet. Hopefully your reasoning includes a R:R in your mind of 3:1 or better.
> Is average consistent 3 R profit per month realistic? Depends on the definition of R you use... Which one do you use?
The 3 R profit can be from any systems with positive expectancy for example 50 % WR with 1:2 RR 6 trades per mo or 66.66 percent WR 9 trades per mo . Result net profit 3 R per mo
R:R is a bogus metric. Either you are trading with a statistical edge or you aren't. Many of my trades are 1:2 or worse. They are only losers if i fail to read PA incorrectly.
i am creating a system based on H4 support resistance and trend (direction of W1 candle) .... target is minimum 0.5 average weekly range. Only take trade if distance to 0.5 AWR is at least 2 R from h4 support resistance System is not ready yet as I am still backtesting it. should pass at least 200 back test data before I have gut to trade it live So, back to the original question . is 3 R profit per mo realistic?