Ed, try reading this thread. http://www.elitetrader.com/vb/showthread.php?s=&postid=50799&highlight=real+person#post50799 I wrote this thread some time ago, I think most of it is still applicable today. (I don't trade QQQ's anymore) A good mentor might cut your learning curve in half or better... But, finding one is VERY difficult. The ones that charge you to teach you need to be scrutinized very closely. Most aren't that good. A good chat room or internet trading group MIGHT help you, if they and you are in tune with each other. Be aware that very few of the folks you are going to encounter actually know what they are doing. Even fewer have the inclination or ability to teach someone else. FYI, I am in very nearly the same boat as you, about your age, and unemployed, and probably unemployable in my former field. And I have been at this for nearly 3 years and am still learning and struggling. Some days I feel like the fog is lifting and I am trading well, and some days I feel hopelessly lost. You must be prepared for these swings of mood. Good luck and keep us informed.
I never would have imagined the enormous and varied response to my post. Thanks to all who responded. Although I do consider myself above average, I was hoping that if an average guy could make it trading, then so could I. Maybe an above average frog can leap over most of the traffic. But I understand that he could end up splattered on a windshild with a belly load of bugs as well. Although I am a novice at full time trading, I have been actively trading for tha past ten years. For the past 5 months I have been doing some short term trading and have sat full time in front of the computer, trying to find a way to make this work. Unfortunately not doing all that well. I have made many mistakes during that time and hopefully have learned from them. So far, backtesting an idea has been the most useful instructional tool. However, applying the idea always seems more difficult. I used to be a buy and hold investor, until I lost 40% of my portfolio during these past three years. I now think technical analysis is the way to go, changing with the ebb and flow of the market. I don't think day trading is going to be my bag, but swing trading seems to hold alot of promise for me. From what I can see so far, the keys to success are: understanding fundamentals, utilizing the proper indicators, choosing the proper entry and exits points and good money management. I am still seeking input and appreciate all who have offered advice. Thanks. Ed
Most important element for succuss is your "love" for the market. Otherwise there are other business where you can make money also. If you are in it for just making money, you will get stopped within a year, either by lossing, or all the hussle you have to go trough to get there by educating yourself and trying differnet things. I consider myself like a will be losing boxer who has "came to fight" for that night and refuse to go down. Even tough I might go down sooner or later. Did you see the way "Mike Tyson" refuse to go down after 8 rounds of pounding and cuts he received from Lennox Lewis. He is a "Real Man" In this business you have to be like him, not a pussy.
But remember all the fighting has to be done by planing in your brain. This is a different battlefeild.
I just got back and have not had a chance to read the entire thread. I have only read your opening. The short reply is simple: No, an average guy will not succeed in making a living as a trader. But, the average person will not be extremely successful at anything. You should not strive to be average. You can succeed though if you are willing to work smart and hard, to learn from your mistakes and push forward from adversitity. Given your current age and financial situation the odds are even further against you then they might be for other people, it will require a lot of work. Take the time to learn from others as you probably do not have the time or capital to make all the mistakes yourself. If you are interested I would be willing to help you out for a few months to learn the basics. Because of your situation I would not charge you, you will need to keep as much of your money as possible. If you are interested send me an email. Brandon
Hello Ed, You said you might be more interested in swing trading. If it's end of day ST, you might take a look at this site I started last year. http://www.elitetrader.com/vb/showthread.php?postid=127709#post127709 There are a few responses there but I did receive some very nice PM's from a few folks that were helpful. I've always been grateful. I can tell you that I finally settled on a modified type of Gann swing chart. I found a few things that work with this method and I'm actually making a few bucks. The swing lines are easy to see (either drawn or just eyeballed). The trend is either positive or negative, and entry is from the basic pivot after the swing up or down. If you want a chart or two with the lines drawn in with entry & initial stop, just post the symbol. Chuck