Hows Everybody..this is my first post ..and after ..being a ghost and reading the site ..I fully expect to be chewed out ..however I hope somewhere in the flaming I can get an answer. Im 20. Born into a slightly affluent lifestyle that allows me not to work, however I would like to start trading because Ive ALWAYS wanted to do it ...Ive read the McMillian books...Trading for a Living....the CBOE options university and now im at the starting line my question to you guys is ...for a guy that has no kids ..no responsibilities....whats trading instrument would you suggest he use....and how much to start.(i heard u lose money fast also known as the learning curve so i wanna trade 5000 at a time)..I dont wanna go stright into daytrading but I do wanna work in the short term market.....I like options alot .currencies and ..futures as well..would anyone have any suggests for me...
Forget all the BS. Open an account and begin trading. NO better way to learn. The more you lose/win, the more you'll learn. IMO.
Keep a journal, keep track of what you screw up on and what you do well on. Do more of what you do well at and stop screwing up. Brandon
Since youve got the bucks find a good trader and make it worth his/her while to teach you. Best way to learn anything is from someone whos good at it.
even better, get a job trading options or assisting (non back office) so that you can learn at someone ELSE's expense. Since you don't care if you get canned, stay only as long as you need to to figure out what's up.
Probably the single most important thing for a beginning trader to do is to sit down with a blank sheet of paper and to define, in very concise language, what s/he thinks "trading" means. After that, as you learn, go back and make your definitions either more exact or break them up into different categories. If you see yourself doing that, you are learning to "trade." IMO all trading should be learnt by going to an exchange and seeing how and why locals set themselves up for business there and what the food chain is. Once you understand all the different ways that these exchange players make money, whether they be order flow traders, or pit/screen arb traders, MMs, etc, you can see what you are up against as a screen trader and where _you_ sit on the food chain. The problem is that most of these jobs are gotten not by applying to them but by knowing someone on the floor. If getting a floor job is not an option, then the next best option or equally good option is to go to a firm like Bright or Echo that trade certain strategies and to see if you can pick that up. If that does not work or is not an option, you still have opportunities to learn, but most of them will test your patience. ET can be a good source if instead of asking lots of questions you think are relevant, you instead read some of the classic threads on ET. I would start by reading all the Don Bright threads on the Opening Only strategy and then work your way out from there. After you have some idea of these things, you are probably ready to start trading (or speculating or investing - are those different? what makes them different?) and asking some intelligent questions if/when things don't go well for you. nitro
If you're affluent, copy a Buffett. You have time, and money. If you're larcenist - Elgindy. He'll be doing the beer barrel shuffle. But if you're looking for a thrill, go to Vegas. Lot more fun. Learn to count cards. Learn the best video poker games and the odds. Because there, they give you drinks and hookers. And they might even stop you if you really get creamed. Here, you get all the rope you want. And when you lose more than you've got, they chase you. No free drinks, no hookers ( well, maybe the Christmas party). The choice is yours, but I guarantee you one thing - it's the big time and it's real. No time for tears. No one cares but you. My dad was a real horse player. Would drive 100 miles (before OTB and if the bookie wouldn't take it) to bet one horse. Then he'd come home. This was a factory worker who never made more than 8 thou in one year. And he was a net winner. At his wake, my uncle told me they had two horses running that nite, and they both won.. His edge was his discipline. First time I went, I won. He looked at me, said he was sorry I won. I asked why would he wish that on me? Said, " I never want you to think it's easy." It ain't easy. You know it don't come easy. What's your edge.?
I started with the stocks figuring if I could trade the underlying I could trade the derivatives as well. The skill expansion route is to the options and eventually commodities for me, yours might be different. I've known some people that were drawn to commodities and never developed an interest in stocks.
trade lose trade lose again soul search trade breakeven trade lower your expectatons trading becomes boring you move on if your not hungry...this above process is shorter. or... You could be a trader from the beginning...find YOUR connection.