How many people do actually make a life from forex trading?

<p id="isPasted">Very few people make a full-time living from retail forex trading, with estimates suggesting only around 1% to 4% of traders achieve professional success and a living wage. While a larger percentage (around 10% to 30% quarterly) might be "profitable" in a technical sense, earning a full-time, sustainable income is rare and challenging due to significant risks and the complexities of the market.&nbsp;</p><p><strong>Profitability Statistics</strong></p><ul><li>Vast Majority Lose Money: Studies consistently show that anywhere from 70% to 90% of retail forex traders lose money over time, and many lose their entire initial capital.</li><li>"Profitable" vs. "Living Wage": Broker data often indicates that around 25-30% of accounts are profitable in a given quarter. However, this includes accounts that make minimal profit. The number of individuals who earn enough to replace a full-time salary is much smaller, estimated at only a few percentage points.</li><li>Long-term Success: The longer the timeframe considered, the fewer profitable traders there are, as many new participants drop out after initial losses. Only about 7% of traders remain active after five years. </li></ul><p><strong>Why So Few Succeed Full-Time</strong></p><ul><li>Leverage Trap: High leverage magnifies both profits and losses, quickly wiping out accounts.</li><li>Lack of Discipline/Risk Management: Many failures stem from emotional decision-making, poor risk controls, and failing to stick to a well-defined trading plan.</li><li>Insufficient Capital: To generate a living wage with realistic returns (e.g., 5-10% monthly), a large starting capital is typically required. Most retail traders are undercapitalized.</li><li>Treating it as Gambling: Many approach forex as a get-rich-quick scheme rather than a serious business requiring continuous learning and strategy. </li></ul><p>Ultimately, while it is possible to make a living from forex trading, it requires a high degree of skill, discipline, adequate capital, and a significant time commitment to learning and practice.&nbsp;</p>