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Forex Compound Calculator

Past Performance is Not Indicative of Future Results

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What is a Forex Compounding Calculator?

A Forex Compounding Calculator is a sought-after tool among Forex traders, designed to project the potential growth of a trading account. It compounds gains based on a predetermined profit percentage per trade over a given time frame.

How to Use a Forex Compounding Calculator?

To estimate your Forex trading profits over a specific number of periods with a given gain percentage, follow these steps:

Input your initial trading account balance.
Specify the number of periods for compounding.
Enter your targeted gain percentage per trade.
Hit the 'Calculate' button to see the results instantly.

Understanding the Compounding Interest Formula

Formula: FV = P (1 + r/n)^(nt)FV = Future value of the investmentP = Initial deposit or principalR = Gain percentage per periodN = Frequency of compounding within a periodT = Total number of periods

Example of Compounding Interest

Suppose you have an initial balance of $100 and an annual interest rate of 10%, compounded over 2 years. You would earn a $10 profit in the first year (on $100) and $11 profit in the second year (on $110), resulting in a total of $121.In contrast, a non-compounding investment would yield a final account balance of $120, as it would generate a fixed $10 profit each year.

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