Forex Compounding Calculator

This calculator compounds a constant percentage gain over a number of trading periods, with all profit reinvested, and lists the balance after each one.

Enter your figures below. Results update as you type.

Result

Ending balance$7,128.80

Total profit
$2,128.80
Total gain
42.58%

Assumes the same percentage gain every period with all profit reinvested. Real trading results vary and include losses.

PeriodProfitBalance
Month 1$150.00$5,150.00
Month 2$154.50$5,304.50
Month 3$159.14$5,463.64
Month 4$163.91$5,627.54
Month 5$168.83$5,796.37
Month 6$173.89$5,970.26
Month 7$179.11$6,149.37
Month 8$184.48$6,333.85
Month 9$190.02$6,523.87
Month 10$195.72$6,719.58
Month 11$201.59$6,921.17
Month 12$207.64$7,128.80
Balance by period
$0$2.5K$5K$7.5K$10K024681012Month
  • Balance

How the Forex Compounding calculation works

Balance = starting balance x (1 + gain per period)^periods

The projection assumes the same gain in every period and no losing periods, which does not happen in real trading. Use it to understand the arithmetic of compounding, not as a forecast.

Frequently asked questions

What is compounding in forex trading?

Reinvesting your profits so that each trade is sized on a growing balance. Gains then build on earlier gains, in the same way as compound interest.

How much would $1,000 grow at 5% a month?

Compounded for 12 months, $1,000 at 5% a month becomes $1,795.86. That is an illustration of the arithmetic only: returns like this are rarely sustained, and losses compound in the same way.

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