Jeez, give a break. Anybody who's been in this business knows it tough, thats a given. And who are we to judge another's commitment. But the point is that someone who isn't kidding themselves and dosen't give up CAN make it. It doesn't take genius or lucky genes. Your analogy to professional team sports doesn't apply because theres not a limited roster. They may not become a superstar trader, they may not even be able to cover all their living expenses through trading. But they could at the very least be successful on some level.
We must realize that traders who give up have come to the conclusion that it was not worth it to them anymore. Many people are attracted to trading because of the amounts of money that they hear that certain superstar traders are making. A lot of people are attracted to trading initially because of the hype... the market hype of the financial media. When you can pick a Time magazine article and read about kids just out of college making 7 figures, there's going to be a lot of interest. Then reality hits and the newbies got slammed. Some people had alternative careers before they attempted trading. Some were well paid professionals that wanted a change of career. So they gave it a try and found out that their former careers were providing more stable income. Probably a wise move. Most people who are successful in other fields assume that they're current success assures them of success as a trader. The skills necessary to be successful in trading are not apparent. Not only are they not apparent, but they (the necessary skills for successful trading) are hidden. That's why you need dedication and determination.
My definition of a trader is one who is a survivor. Makes money is bull markets, bear markets, sideways markets, or any other variation thereof. When I hear about those people who talk about how tough the market has been or washed out after the bull run, I know they weren't "committed". They didn't have the most important ingredient of all, and it's not talent. It's never ever quitting. Hey, even if they practiced poor money management and blew out, they could earn money and come back. They could convince another trader to back them, learn from their mistakes and succeed. It may take some longer than others but it always possible.
Ditto. Traders have to learn to make money in bear and sideways markets. I was too young to trade in the halcyon days of the .com craze and I've been weaned on the bitter milk of this secular bear market. So I don't know what the hell most of you guys are talking about, to me, the markets have ALWAYS been hard. Even fools can make money in bull markets.
Thanks Magna for getting me rolling here. One more point I like to make. This is the BEST time ever to be involved in markets in my opinion. The ease and economy with which you can enter orders is unbelievable. I remember days when you had to overcome a whole lot more commission and slippage to be successful. In my mind, the stats on the number of traders who are active on a daily basis should be higher than ever. I'm not quite sure why it's not, maybe some have been scared of by the media and the stigma of "daytrading". This profession will continue to grow in my opinion and eventually I think we will see those numbers increase, with or without a bull market.
The profession will not grow for sometime. Too many people are now scared of the market. No one is going to trade in the market to make $20,000 a year for a living, which most lazy traders can pull off. To be the best takes alot of work, and most aren't willing to put in the time. Everyday the market weeds out traders, and it will continue to do so. Again, it's not that traders can't make money, it's that most can't make enough to live on.
I disagree. Yes there will always be those who are not willing to work hard enough at it. But from a standpoint of pure opportunity, the market has never been greater. This is the whole point of why I reponded to this thread. I hear all the time about how traders can't make enough to live on and the reason is market conditions. Balderdash! Learning to trade takes time. The field of daytrading has been around since markets came into existence, however only recently has it become more accessible. In its modern form it is relatively new. Only time will tell, but I believe that it will continue to grow. If an individual decides this is the career path they want, they will put up with making a small amount of money and pay their dues. Is any field where the rewards are this great any different?
I thought Cramer sez that there is always a bull market somewhere. Instead of trading in a sideways market, find a different one.
this just goes to show daytrading is a VERY tough occupation.. to be successful longterm is a task very few can do.