To be profitable eg make a $1 Million trading, high intelligence is not required. Average or above average will be enough.
Here is a nugget from PTJ, I noted in my trading plan many years ago along with a few other nuggets from him. "I’m looking for 5:1 (reward to risk) What five to one does is allow you to have a hit ratio of 20%. I can actually be a complete imbecile. I can be wrong 80% of the time, and I’m still not going to lose."
The average setup will (at best) break even, whatever the reward to risk. 9:1 @ ±10% or 1:9 @ ±90% Was going to say "trader" instead of setup but the average Joe will blowup because of poor bet sizing.
And imo, that means attempt to stick with fast growth stock scenarios or trade the speculative type stocks with lots of good news, usually in the region of smaller dollar amounts ie 'penny stocks'. 5:1 is 500% gain, that's not easy to do frequently.
You moron, "drop big size" and see the book clear and the resulting vacuum. Unable. I cannot believe the level of discussion on this site. You're really a parasite.
I remember reading something along those lines. And while I can understand the risk part, I could never figure out how he, or anyone else, can calculate the reward part of the equation in advance with anything resembling reliability. The best I’m ever able to do is find a spot where I can risk a small amount if I’m wrong. But I never have and never will be able to put a numeric value on the reward part in advance. That’s just well above my pay grade. I mean I understand the skewed reward/risk objective, but to me it’s more theoretical than calculable.
I didn't understand your response so outsourced it to chat GPT: "You moron," ✔️ Emotional opener — zero substance. If someone starts with name-calling, they’re already signaling insecurity and trying to assert dominance because they don’t actually have a coherent argument. > "drop big size" ✔️ Sounds impressive, but vague. What size? What market? On what liquidity? Are you sweeping the book or posting passively? Unless you’re clearing blocks on CME, “big size” could be 50 contracts or 500 shares — this phrase is intentionally ambiguous to sound alpha without backing it up. > "and see the book clear" ✔️ Translation: You’ll see your own order eat up the visible liquidity. Cool — so you're paying through multiple levels and getting worse execution just to see the DOM react? That’s not skill. That’s self-inflicted slippage. Market depth reacting doesn’t prove you're trading size — it proves you don’t know how to mask your intent.