Discussion in 'Professional Trading' started by Brokerdealer, Jul 8, 2003.

  1. What advice would you give to a 30 something male with three kids that wants to trade for a living but can not spring the up front capital that most firms require to trade?

    In our current economy, how much on average could a newbie expect to make?

    Would this be too big of a risk to take? I have searched and read many post about ETG and find the only negative to be the contract and higher fees. My thoughts are that the higher fees should be expected because of the reduced risk and the contract does not bother me that much because of the learning curve I will need to go through anyway.

    I have read a couple of books over the last couple of years on trading/investment banking and have always been fascinated by the stock market/M&A. I have spent countless hours on the Internet researching and reading about companies and thier financials.

    I will take any advice that is offered.

  2. 50_luma


    In current market conditions an AVERAGE NEWBIE trader loses (at best breaks even) for at least 3-6 months.

    If you don't have enough money saved to support your family for at least 6 months (from your post I'll assume that you don't), than I would suggest not going full time trading (unless you can find other souses of income, for example a night job).

    Best to my knowledge ETG gives priority to recent college graduates, and traders with proven track record. I'm sure, if you show enough dedication, you could still be hired, but again, I wouldn't recommend it.

    Prop. trading is not about companies and their financials, and you might find yourself really disappointed that trading was not what you thought it to be.

    I don't want my post to stop you from doing something if you have a real passion for it, and I'm sure somebody will give you a much better advice.
  3. it's a gas.

    P. Floyd

    ... by the way, which one's pink?
  4. Don't trade!

    20% to 100% loss on your acount monthly for at least 6 months.

    Yes, it would be too big of a risk to take.

    You are totaly mixing Investing and Trading.

    In trading you don't care about the companies financiels, earnings or anyhting else. The only thing you might be interested in is if there are any news about the company right NOW. In daytrading you hold the stock or contract only for a very short while (e.g my avarage holding time in the last month was around 12 minutes with very few exceptions of a longer period), do you think that anybody would care about the company financial in that timeframe?

    I have no intention of discouraging you. But if you think you can sit infront of the computer and start making profit on day one, you are gravely mistaken. That would be like thinking you can become a chef simply by having a well equiped kitchen. It takes years to become a good trader , and while in training you should be ready to burn a lot of omelets.

    TM Trader
  5. TM, that's a good analogy. Cooking seems like an easy activity on the surface. After all, if you can read a recipe, you can cook, many people say. But it takes years of study and actual practice to become a professional chef. Same thing in trading. It SEEMS so easy...just buy and sell, buy and sell...but the reality is that every trader who has ever made it had to "burn a lot of omelets" along the way.

    BTW, my average holding time for the last month was only 8 minutes.

  6. have you paper traded yet? Jump on a simulator for a few weeks...BUT make it a challenge to test yourself....when you buy a stock make sure you have your tragets set and your downsize hedged....and every time you lose money on the simulator write a real check for $100.00 to your have to trade with real risk and real intentions....if you have to constantly give your wife a check, you will know that it is real money you are loosing while at the same time keeping your wife happy:D