Balance as of today March 21, 2010 at 7:00PM is 100K. PS: First trade has been entered. Soon the balance would change.
There is an idiot who started a thread looking for people to give him his strategy for a profit sharing. He boasted that he will give 25%, thinking he is doing the other guy a favor. I responded that his proposition was unfair (and that he was fair from his posts, which I now withdraw). After he responded to my post, I deduced that the guy is an idiot, and know next to nothing about pricing of stocks, which puts doubts on his self assessed performance in markets. So I thought to show in this thread his stupidity. Rather than putting my response in his thread in which case it would be buried under a pile of other shit, I am posting in my thread. Let us assume that you have found trading method that produces 100% per year (with practical certainty), that the method is scalable but it is not yours. Leverage is 1:1. If you answer the question below, do not try to be another smartass by trying to say something like it is not possible to make 100% or something of that sort. That is the reason of the word "assume". To help you think properly about the problem, think of the trading method as a stock with a 100% earning margin. 1. What PE ratio would you give this stock? 2. Once you have found a PE ratio you find fair, could you translate that to help the idiot ETer better price a fair profit sharing. 3. His at most 25% profit sharing corresponds to a particular PE. What is that PE. To give time for you to think, I will give the answers in next posts. By now I think 90% of the people of ET are telling themselves, what the fuck is this guy talking about---and add something like "we at ET make money, and do not spend time thinking about this bullshit". If you think like that, it might be the reason why you ....
I think he is, billbob! Better do it and show him that you won't take any of his crap! Aren't you the same guy from the "Watch Me Trade....100 Bucks to 100 Grand!" thread? I see you've achieved your goal incredibly early, and you're now tackling the next challenge. Good on you. But wouldn't it be easier to just post a ten million dollar gainer and be done with it?