How much does one to need to swing trade futures?

Discussion in 'Professional Trading' started by WSBaller, Aug 13, 2009.

  1. WSBaller


    If I'm looking to trade futures (specifically S&P 500 e-minis), how much is a good amount to have in an account?

    Is $5,000 enough?
  2. Stok


    Swing trade what time frame? Daily? Average holding period?

    I swing trade daily charts, but stops are 15-20 pts (due to volatility).

    It's all about edge and money management. Risk no more than 2% per trade.
  3. 20 points = $1000=2%of 50k

    50k per contract seems a lot.

  4. Well it all depends on how good you are at trading... A good amount would be 50-100k

    At the moment the overnight intial margin for ES is 5625.00

    So if you want to swing trade, you will need at least this much.

    At most firms you can day trade with less margin.

    Good Luck!
  5. Stok


    The cash value of the ES is $50,000 @ 1000 for 1 lot.

    Swing trading is different than day trading. The ATR(100) of the ES is about 25 points these days.

    Again, depends on his/her time frame. You want to swing a daily chart with a 5 point stop will be suicide. Intra-day is a different story. OP was talking about swinging.
  6. acepowerdrive

    acepowerdrive Guest

    if you are going to do this as real 'business' you should borrow $100,000 from the FED or local bank at 3% interest.. the money or capital you have the more profits.

    just don't tell them you are using the money to trade futures,options, forex, stocks,,,they won't lend you the money if you honestly tell them why you are borrowing $100,000 to's against banking rules to lend to traders. high risk loans.

    this is assuming you know how to trade. after simulation.