How much should one make to prove himself a good daytrader?

Discussion in 'Professional Trading' started by worthytwo, Apr 12, 2007.

  1. worthytwo


    For ordinary jobs, receiving 100k/yr in Arizona just means totally different from in NY.
    As for day traders, they share the same money pool: NYSE and NASDAQ, so traders' record can be compared to each others': the guy who makes 110k/yr is better than the 100K/yr guy.
    Then, traders, what do you think about the standard of a
    "good" or "great" day trader? How much should one make per year to be a good trader under current market situition instead of the year 2000?

    Just wanna know your opinion:D
  2. The definition of a great / good trader is very subjective.

    But from my universe, a good trader is someone who has the balls and ability to trade size.

    Being profitable is a bare minimum. Returning xxx% or $yyyy amount comes later because you wouldn't be trading size if your performance isn't above norm.

    With size comes limitation, and from limitation comes diversity of styles and skills. A 30 lot scalper can't manage 100 lot trades, but a 100 lot trader can easily manage a 30 lot.
  3. $ 100,000 per month.

    $ 25,000 per week.

    $ 5,000 per day.

    It is superstar level trading, but that is what it takes to prove to yourself that you are a good "day" trader.
  4. For how long?...or must he adapt and change with the market? are those averages below?

  5. worthytwo


    I think this is the "super" level instead of "good" level. Cuz I even seldom heard about people about that level, maybe it is caused by their modesty: they needn't prove anything to anybody.
  6. It's all relative.

    From where I sit, if you can figure-out how to pull 20K per month pretty consistently, or 250k per year, you're pretty good.

  7. hughb


    Back in the 90's during the inane "spread" scandal on Naz stocks, the NASD was secretly recording telephone calls between market makers who were suspected of colluding to keeps the spreads wide. On one recording a market maker was complaining about the proposed decimilization changes saying that "if you make 60 now, you're only gonna be making 40", meaning that if you made $60K per month you will drop to $40K per month, referring to the gross pay that a desk trader for a MM would make. So I guess that would be a starting point to make your references to see what a "good" or "great" daytrader would make.
  8. So someone who sticks $24 million in a CD at 5% APY is considered a super trader, eh? The dollar amount made is not necessarily relevant to the amount of skill possessed. A super trader should have a great deal of money coming in. But someone who has a great deal of money coming in is not necessarily a super trader, even if he/she is getting the money from trading.

  9. catalano


    According to me, you must have a good return in % and $, and during 5 years minimum.

    ex :
    from 1999 to 2006, you made 50% per year and 100 000 $ per year : you are a good trader (daytrader)

    The best daytrader on Nasdaq's stocks make 100 % to 400 % per year; one million $ per year; every year
    (they have no negative months; every month is positive/profitable ! )
    (5 % can make this)
  10. from the top traders under 30, we can see that to be considered on the 30º position the annual profit must be arround 5M$.
    I would consider a 1% return profit per week very good on the average of years.
    what happens is that you easely make 1% in hours, the same easy way you loose it!
    so, playing the leverage game is very hard, and the big achievement is the long term game and consistent profits, even with short term trades!!
    #10     Apr 13, 2007