Hi everyone, Was wondering if I could ask the more experienced traders how realistic is it to have $50,000 day trading account, and make $500 per day? I plan to use an alerts type software such as trade-ideas and find a pattern in new daily highs or lows. For those of you who have done something similar, is making $500 / day realistic? Thanks for any info!
yes, 1% a day is a realistic goal. But it goes both ways, and losing 1% a day for ten days in a row puts you now with a realistic goal of $400. It's realistic, but very few achieve it, especially when they are first starting out. And after they achieve it, they ususally realize a lot of it was luck and start trading more conservatively.
yes, but 1% a day is not an unrealistic goal for a daytrader from a money management perspective. I wouldn't even loan the S&P money to buy all their 500 stocks and hold them for me.
If you have to ask, then it's unrealistic for you. Also, if anyone puts the $500 as the numerator and $50,000 as the denominator in order to decide, then it's unrealistic for that person as well. The way you decide what's realistic is by figuring out what the market you are trading offers for your operating fractal in light of your ability to extract from that offer. What you extract will always be less than what the market offers.
well there you go OP, all you have to do is figure out what the market is offering and how much of that you can extract. I was wondering how they do it. Don't put numerators over demoninators or it will become unrealistc.
Is using the same $50K to run a small business generating $500 "profit" a day reasonable? It is to some people, but not everyone. You cannot just walk into a casino (i.e. stock market) and expect to net positive when you walk out the door. Have a plan first. Then research and work hard to refine your plan. Be very patient. When your planning comes together, you will stand a better chance.