Sorry you can't trade, mang. Are you even profitable, every day? 5% a week is 1% a day! Seriously. That's not a lot.
And you are telling us that you are profitable EVERY SINGLE DAY? I think not. In fact, I know not......
I'm saying you're lying. I've never claimed to be a day trader, as I have a six-figure sales job. I swing/position trade stocks for the most part and have done very well this year, and was only down 5% in 2008. I do not believe for one second that you can consistently make 3%/day. Achilles, what is your account value?
If anyone can consistently get 1% per trading day (compounding to 23% per month, 1099% per year) then please show us your certified brokerage statements of the past two years proving this. I, for one, will beg you to run my money.
Yup. I must be that sucker. Cause a trade that makes 1% on a 10K account is sooo different than a trade that makes 1% on 1 mil in forex. Just no liquidity there! Scaling up is nearly impossible.
A bad trader tries to make profit everyday A good trader tries to make profit when the opportunity presents itself
Where do you trade? And why would you need 1 mil to make $10,000? Hell, one could have easily done that today with a balance of $50-60K using 20 lot trades.
It's amazing how people jump to conclusions. The OP did not say his friend was COMPOUNDING 50% per month into billions, just that his friend has figured out a way to avg. 50% per month in gains from his starting balance. Then he sweeps it, by definition locking in the gains and starting over. This is 12.5% per week and with FX leverage it is possible. I have even done it with e-mini's for long stretches. The smaller the account, the easier to make the percentage gains. But for how long or with what drawdowns is another story.
Okay, let me start over. I trade prop and have access to as much capital as I need. I have a deposit there and I make 2-3x that much monthly, and amounts over initial deposit are paid back monthly. Does that mean I can tell people I make 200-300% a month? I'm sure you can make 10K on 50K in a day. But if you're making or losing 20% of your account per day it's just a matter of time before you blow up (assuming you don't have more money to deposit). With a million dollar account the risk is just a measly 1% for that 10K and you can avoid risk of ruin. If my strategies were scalable, which they aren't, I wouldn't be withdrawing money. I would be maximizing my strategies with as much money as possible within proper risk limits. And that's why I don't understand why some people don't keep pounding away and making even more money with their profits. Why are people settling and making 50K a month when they could eventually be making 500K a month if they had the access to as many shares/lots as they needed. See, I'm stuck where I am because there just isn't any more shares available for me to take for my strategies without creating too much slippage which would bring down my profitability (my bots scalp low-mid volume stocks). For the stocks that I trade, if I market in and out 1K shares at the prices I wanted I would make money, but if I did that with 20K shares I would lose money. But do people in futures/forex have that problem? Sure, if you're doing a hundreds of lots on the minis per trade.... though, volume has been pretty shitty last few months maybe you guys can better explain this to me. and i mean that in an honest way. and obviously i know someone isn't going to turn 10K into those numbers I posted above since making 12% with 10K is not the same as making 12% with 1 billion. I exaggerate it just to show how powerful compounding is cliffnotes: why not grow your account to the point where the market can no longer handle your strategies, while maintaining risk