how long does it take the average rookie to realize he is being ground up ?

Discussion in 'Prop Firms' started by CarolinaCpaGrad, Jun 16, 2009.

  1. would love to see some data on the average life cycle of the newbie.

    ones that absolutely cannot trade last two months before they are shown the door ?

    those that can churn commish and generate flat to slightly negative returns last about a year ?

    at what point do you figure out that all else equal (platform. stability etc) that the lowest commish matters the most ?


    UNC
     
  2. not sure about prop firms, but I have a few friends that work at retail futures and forex brokers...

    From what they told me, I think the average newbie funds their about 3-4 times... On average, it takes less than a month to blow out their first account. After that, they usually blow it out in less than a week!

    It's like, as time goes on, they get more and more aggressive, trying to make up for their losses... thus, losing their ass.

    :cool:
     
  3. 3121

    3121

    how long does it take the average rookie to realize he is being ground up ?

    how long does it take the avg PRO


    goddamn that's funny

    i'll grind your bones to make my soup


    LMAO :D :D :D
     
  4. These are actually interesting stats.

    Did your friend say they stop funding after the 3-4 times and don't come back?

    What about the 3 and 4th funding, how long does it take to blow that out?
     
  5. That's the catch-

    At some point cutthroat rates turns into cutthroat service.

    Can't keep upgrading software/servers/lines etc. if you're not making enough to cover it.

    On the flip side, some firms rob you and give you shitty service.
     
  6. Probably right after Puredick charges you for the month.
     
  7. Yeah, he said they usually stop funding after 3-4 times... kinda like running home with the tail tucked between the legs saying, "You can't make money in trading... it's a scam!"

    He also said they blow the account out quicker each time... shows you that skill is just a small part of profitable trading.
    :cool:
     
  8. 06-16-09 08:03 PM

    would love to see some data on the average life cycle of the newbie.

    ones that absolutely cannot trade last two months before they are shown the door ?

    those that can churn commish and generate flat to slightly negative returns last about a year ?

    at what point do you figure out that all else equal (platform. stability etc) that the lowest commish matters the most ?



    ____________________________________________________

    I'm a 63 year old newbie, no formal trading training, only what I picked up online and listening to Boomburg Radio while driving my truck and working 14 hours a day. I am only a highschool grad, have been only trading since the end of Feb.. Certainly don't have the advantage of being a CPA grad from UNC.

    Let's see I started with TD Ameritrade with only a $30,000 IRA account, can't buy on margins, can't trade options, can't short the market other except using short etf's, they told me that I would lose my ass if I tried to day trade. Even got to pay $9.99 a trade to the tune of over $5000 in the last three months. I did get the first hundred trades free.

    Up until the last 3 weeks. I didnt have real time trading information only what streamed onto my XM radio with a delay and when I could take a look on my blackberry. Traded on my blackberry and in the late afternoon on a laptop with an air card.

    3 weeks ago I quit work, when I was $8000 ahead + plus a $1200 dollar distribution. I now stay at home, just switched to LIghtspeed trading a week ago. Have been taking a $1200 distribution every week since I quit working. Have not filed to start drawing my Social Security yet and may not for a while. Have added money every week since I quit working, have added even more since going to lightspeed, very fast, very cheap to trade. Made another $700 today on a down market just trading three issues FAZ, FAS, NTES done by lunchtime. Never put another dime in my account. Balance now stands at $42,800.

    I'm so new I just realized what commish means and had to do an edit. Yeah! I agree I would have been another $4000 or more ahead if I had been trading on lightspeed the whole time, more than likely even more ahead because I would have quit work sooner.
     
  9. Congrats... you're the exception, my friend!

     
  10. keep up the good work. i wouldn't consider you a prop trader though.

    begs the question - why don't you try and become one ? u could trade remote if nothing local was available. have access to more capital and should be able to find a decent split.

    my masters in accounting from UNC is probably a negative for day trading.
     
    #10     Jun 17, 2009