Can I make a billion dollars this way?

-Borrow $100 and open a foreign exchange account.



On Monday at 8:01am buy 锟?718 Japanese Yen. At 8:14am sell 锟?728, give 锟? to your friendly broker, leaving 锟? profit. Your broker allows you to leverage the transaction 58 times by lending you A$5,700. Your net profit is therefore 锟?48 Yen or 3.5%.



In the next fifteen minutes, with equity of A$103.48, sell at 锟?730 and buy at 锟?712, grossing 18 pips (14 after deduction of brokerage spread). Your equity is now A$111.88



Repeat this process every 15 minutes, selling high and buying low until close of business on Saturday morning. Your average profit per transaction is 3.3%, yielding a final balance of $A 1,087,061,600.



Repay the $100 loan.



Can this work? What are the ups and downs?What possibly makes you believe that the market will go from say 8730 to 8712 almost instantaneously so you can sell and buy while taking 15 minutes to go back up to 8730. Not to mention there is no guarantee that the fluctuations will all be that big or even in your favor.
NO.



Your broker is going to charge you a percentage at every turn, and that turn-around "in the next fifteen minutes" isn't going to happen again (if it in fact ever did)



Look for something else to day-trade on.



GC