So imagine this fictional situation;you are an expert on every type of market and investments(penny stocks,futures,options,day/swing trading and long term investment) and you just open a $2000 account with an online broker.What would you do?Invest(long term) on an index like SP500?Swing trade stocks(not day trading because of the PDT rule)?Invest all your money in the futures market?Or a combination of various types of investments(like a percentage on long term/swing trading,a percentage on trading futures,etc.)I wanted to ask this because i would like to read diverse opinions and ideas.I found it interesting(for me at least haha). Thanks in advance .
According to Livermore, you'd grow that into millions and then lose it, repeatedly. I would swing trade options given your reduced capital. Gives you more leverage.
get into crypto. thats the only market that doesnt have fixed costs as entry barrier. it moves and liquidity + leverage is high enough for a punter like you. the most expensive thing you will need to have is a 30$/m tradingview subscription
An expert on every market (assuming you meant to say a great trader) would have much more than just $2000 starting capital...first flaw with your hypothetical situation. wrbtrader
I would • trade shares of the SPY and "a certain subset" of leveraged/volatility ETFs, • via a trend-exploiting Rules-Based Trading regime, restricted to EOD-data -- • with long + short positions in both, with • average hold in the SPY of ~5 days, and • average hold in the lev'd/vol ETFs of ~2 days. As the equity grew, I would add vertical S&P spreads, top and bottom, 2-4 weeks out, with an intended 5-day/50% hold. (And a 1.9x stop loss.) But that'll be a while.
I would save another $2,000 as fast as possible and invest in indexes. Maybe start with SPY and AGG 60/40. Do that as many times as possible for like 30 years and retire.