While using our forex compounding calculator, you can forecast your forex trading account growth reliably. Our forex compounding calculator will help you to test your trading progress accurately.

## What is forex compounding?

Forex compounding refers to the reinvestment of monthly or weekly profit in the initial balance. This Action will lead to growing your trading account exponentially. A little and consistent input will produce bigger output. This is called forex compounding.

For example, a forex trader earns around about 10% profit every month. As weekly profit can be in loss and in profit so we will use only monthly compounding. Starting balance was $10000. The first month he earns $1000 and he reinvested that amount in a trading account and now the total balance is $11000.

Next month, he earns $1100 and again he reinvested now the total balance is $12100. He continues this process and after 12 months he has $31384 in his account. This is a miracle of compounding is forex. A little input like 10% profit per month will produce 528% profit in one year.

Apply this 10% forex compounding plan on a real account and you will see the magic in a few months. This forex compounding plan will also decrease psychological issues because of only a few and effective trades to earn just 10% per month. Five trades in a month using 2% per trade risk will earn you 10% per month.

Albert Einstein

compound interest is the most powerful force in the universe.

## What is a forex compounding calculator?

A calculator which will determine forex trading account growth using compounding interest is called the forex compounding calculator. Use our compounding gains calculator to forecast yearly trading progress reports.

## How to use compounding gains calculator?

Usage of forex compound calculator is very simple. Just three inputs

- Enter starting account balance
- Enter monthly profit percentage
- Enter Number of months

## Which formula is used in the compounding calculator?

The formula used in our compounding calculator is

*A = P(1+r) ^{t}*

In this formula

- A = Ending account balance
- P = Starting Balance
- r = Monthly profit percentage
- t = Number of months

Use **Tradingview** for technical analysis instead of mt4. Join **Telegram** to get trade ideas free.

Thanks

**Note:** All the viewpoints here are according to the rules of technical analysis. we are not responsible for any type of loss in forex trading.