making a living v. getting rich

Discussion in 'Trading' started by marketsurfer, Jun 4, 2003.

  1. day trading with strict money management is certainly not extraordinary risk. i define extraordinary risk by having the potential to 'blow out" your account .

    #11     Jun 4, 2003
  2. This might touch on a subject that would make for a good separate thread...I would argue that it's not the initial account equity at risk that is the real source of debate...After all, I think its commonly accepted that you should really not stick around in losing positions for too long...But its the drawdown or "giveback" of open equity that is the more interesting topic of debate...If you read some of the famous interviews that is always the 64,000 question, and it is especially pertinent in runaway trending markets...So, basically what I am saying is, the guys who are going for the big kill are willing to giveback alot more of their open equity in return for being positioned for alot of potential favorable with trend account volatility...(I think the Surf report demonstrated that pretty well from april 8-june 2, btw)...
    #12     Jun 4, 2003
  3. Rich girls are a pain in the rear. Most of them are spoilt brats.

    Trust me. I know, 'cause where I live there are hardly any poor girls around (in this particular suburb, anyway)...

    Besides they think they don't need to work so they don't need to think. Might as well get an inflatable :D

    Have a nice girl.
    #13     Jun 4, 2003
  4. /

    well said, vulture. thank you for the accolade.

    :) :) :)
    #14     Jun 4, 2003

  5. Nothing "wrong" with it. But we're talking about getting rich without extraordinary risk. In day trading, I would assume that to mean multiple, multi thousand share positions. That's pretty big risk, if you ask me. Show me a daytrader that got rich without doing it. (And it might not get you on one day, but day after day it's a big drain. Look at that Silk guy, couple million last year, essentially trading in this manner, losing his ass this year.)

    Now 'surf has defined extaordinary risk as having a position on so big that it could blow you out, which is totally different, leveraged to the hilt. In that case, I would disagree that you require this much risk to "get rich".
    #15     Jun 4, 2003
  6. How about just one position and VERY tight stop-losses? Ever heard of scalping? Momentum trading? I often don't allow for more than 5-25 cents stop on a medium-sized share.

    Put all your eggs in one basket and then watch that basket really closely...

    #16     Jun 4, 2003
  7. i need to get fucking rich
    #17     Jun 4, 2003
  8. No risk required: trade off of inside info. George Soros' big trade was made on inside info, and my mentor (an ex-CME floor trader) witnessed several things that could only be explained by insider info. When the whole world is short, and then one lone guy, the head of a huge firm, walks out on the floor himself and starts going long, well, what would you think.

    Reread the Market Wizards carefully, there are several stories that suggest insider trading made, or at least saved, tons of money.

    You may think he's just another educational crook, but a quote I love regardless from Charles Givens is: All trading is insider trading. He was, of course, referring to big money.

    It may be illegal, but it happens all the time.
    #18     Jun 4, 2003
  9. if you try to get rich quick, you will have a lucky streak that will end or you will just flop right off the bat.

    the middle road is the steady road, and its not necessary to flop.
    #19     Jun 4, 2003
  10. Sure, if you can make that work, go for it. And if you can get "rich" doing it -- I use the word to mean millions of dollars, at least 3 -- then all the more power to you.

    Personally, I have pretty big doubts that it can be done, or that even trying is a good use of my time. But that's just me talking; one opinion among the thousands you will hear. All the best to you.
    #20     Jun 4, 2003