Hello, I would like to know how much I need to make to be a trader (full-time). Since 2009, I have been traded stocks and as of last week, I had a cumulative return of 140%. Someone told me that I need to generate at least 50% per year to trade full time. Thanks,
A % return metric may be inaccurate to use to determine the answer to your question. For example, a more accurate metric to use is your starting equity balance, your living expenses and a % return on your starting equity balance that will satisfy your living expenses.
1) 2009 was "rough" for you. How long can you go without making money before you drain your checking account to pay your bills? 2) Percentage returns aside, what size account are we talking here? 3) Focus on generating more consistent returns and avoiding more "2009's".
How much do you need to make? Depends on where you live. If you lived here it wouldn't need to be much. 5 pips a week could be enough....
those are useless percentages. If you pull out less than 200k/yr for yourself that you can put in a savings account there are better careers
Unless I am missing something your percentage return chart is useless without knowing the capital at risk. To state the obvious, with a smaller account, percentage return is much more relevant than with a larger account. That's because if you can compound your capital at a heady percentage return when it's small, you will eventually reach the point in your career where you can generate six figure dollar returns but with only single digit percentage returns. At that level, your money works for you instead of you working for your money.
Yeah right. Below are some stats from the latest census. I would say a home-based trader making between 100K and 200K annually is nothing to sneeze at, especially if you are single. Even more so if you are financially prudent enough to be debt free. >>>>According to the U.S. Census Bureau, only 6.03 percent of individuals over 18 and only 19.9 percent of households had incomes of $100,000 or more in 2010. In fact, the median annual household income for 2010 was $50,046, just more than half of the six-figure benchmark.<<<<<
^^ I love the simplicity of it all ^^ ---------------------------------------------------------------------------------------- I have been traded stocks and as of last week, I had a cumulative return of 140%. -------------------------------------------------------------------------------------- 140% in one week? It's not the % gians..it's the % losses that interest me!