Forex Compounding Calculator

See how quickly a forex trading account can grow — or shrink — when returns compound over time. Enter your starting balance, average percentage gain or loss per period, and the number of trades, days, weeks or months you plan to trade.

The calculator shows your projected final balance, total profit, growth multiple and an equivalent annualized return, assuming the same return every period.

Inputs
Balancen = Start × (1 + r)n
Size of your trading account at the start.
Positive for average gain, negative for average loss (for example, −1.5).
Total trades, days, weeks or months you want to project.
Used to estimate calendar time and annualized return.
Formatting only — calculation is unit-agnostic.
Approximate return if this per-period gain repeated for a full year.
Projected future balance
—

Final balance

—
Projected account size after all periods.

Total profit / loss

—
Difference between ending and starting balance.

Growth multiple

—
How many times larger the account becomes.

Approx. time span

—
Estimated calendar time for all periods.

Growth summary

Enter your balance, average return and number of trades to see how your forex account might compound over time.

  • Starting balance: —
  • Average return per period: —
  • Number of periods: —
  • Profit share of final equity: —

Capital vs profit

Capital — 100%
Profit — 0%
Balance over time (compounded)
Projected account balance each period

How the forex compounding calculator works

The tool assumes your account balance changes by the same percentage every period — for example, +2% per trade or −1% per day. Over many periods, those changes compound on top of one another.

If your starting balance is S, your average return per period is r (as a decimal) and you repeat that result for n periods, then your future balance is: 

Final balance = S × (1 + r)n

The calculator applies this formula and also estimates an equivalent annual rate based on whether your periods represent trades, days, weeks or months.

Example: compounding a small forex account

Imagine the following simple plan:

  • Starting balance: $1,000
  • Average return per trade: +2%
  • Number of trades: 50
  • Period type: trade

If you hit that average result 50 times in a row, your ending balance becomes roughly 1,000 × 1.0250, which is several times your starting capital. The calculator works this out for you and plots the curve.

Of course, real trading is more volatile — results will vary trade by trade. Think of the percentage as an average expectation, not a promise.

Using the calculator to test realistic scenarios

  • Try lower average returns (for example, 0.5% per trade) and see how the curve flattens but still compounds over time.
  • Plug in a negative return (for example, −2% per trade) to appreciate how quickly an account can be drawn down.
  • Change the period type to trading days or weeks to see how long a plan might take on the calendar.

Formula behind forex compounding

Final balance = Start × (1 + r)^n

Start = initial account balance
r     = average return per period (for example, 0.02 for +2%)
n     = number of periods (trades, days, weeks or months)

If r is positive, the balance grows exponentially; if r is negative, the balance shrinks exponentially.

To get an equivalent annual rate, we assume a typical number of periods per year (for example, 252 trading days or 12 months) and use: 

Annual rate ≈ (1 + r)^(periods per year) − 1

Risk management and realistic expectations

  • High average returns per trade usually mean high risk — consider whether the numbers you enter are truly sustainable.
  • Compounding works both ways: repeated small losses can erode an account faster than you might expect.
  • Professional traders focus heavily on risk per trade, drawdown and position sizing, not just headline returns.
  • Use this calculator as a planning tool, not as a guarantee of future performance.

Frequently asked questions

Can I use this for crypto or stock trading?

Yes. The math is the same for any instrument where your account equity changes by a percentage each period. Just treat each trade, day or week as a “period” in the calculator.

What if my results vary a lot from trade to trade?

That’s normal in forex. The calculator uses a single average return per period, so it smooths over the ups and downs. For more detailed analysis you would need to model each trade separately.

Does the calculator include commissions or swap fees?

No. You can approximate them by lowering the average return per period to reflect the drag of trading costs.