If you can't be bothered, or are too ignorant (even with a picture!), to make your posts legible without having to untangle and decipher them then I can't be bothered to reply
But professional traders - the ones that are serious, have a method, etc. are not the same as gamblers. I'm sorry you feel that way. You cannot compare someone who has been trading for years, has a 6 figure account, a method that they've found that works, invests enormous time into reading up on the markets and fundamentals - with another person who has $5000 and deposits it into a 400:1 account in FX and expects to make $500,000 in 6 months. [/B][/QUOTE] Did you mean market-maker from Goldman Sachs ? this have income per year from 1mln $ until 10 mln $ Pure retail operator ,which live from trading is rare occassion . In most of the case ,they are ex institutional .they would not have any account by Oanda and another Game theory principle related to all operator .Moral theory have not any value for result If operator have advantage ( can win 550-600 from 1000 by risk -reward 1:1 ) he would risk 2-5% of capital and that would correct. Market -maker ,which performed 100 000 operations ,knew good how great is . But retail have not any advantage ****************************** In this case from game theory point of view heavy bet in short time and out is best chance for win All professional knew that
I feel like I'm trying to have a trading conversation with a dyslexic Yoda. Either that or you're intentionally deleting every 3rd or 4th word.
Dear Sir 1.Responsibility for this evaluation belong to you. 2. Author meet in he's life some professional's ,as example Leonard Fisher by JPM (he was later CEO CSFB at 40 years ,today work for Rotshild) This started carrier as professional trader by JPM ,was head of trading by JPM Germany & Author secured you ,that your argumentation ( 6 digit account and another pop value) have no any relation to opinion of professional ,which have all advantage's of market maker Your respectfully
I think, that the fact, that 99,9% of the traders (all we know) are not able to make (lets say) 100% of constant growth a month for several months, is not a proof that such people do not exist. I suppose, that with a good method is possible to achieve this in the beggining in the bucketshop. After You have, lets say 100k-1mln of capital (EUR or USD) it is very difficult to keep the pace, because of the liquidity issues. But we all know - there surely were individuals making enormous (more that 1000%) profits on average year of their career and these guys were not simply lucky, but devoted all their time to trading and learned for many years. They were all connected with passion to the market play and specific character properties. Most of them were balancing on the limit between insanity and genius. Lets think of a modern ultra-trader Linda Bradford Raschke (http://www.lbrgroup.com/index.asp?page=DefaultPage) In " The New Market Wizards" You can read an interesting interview with her: "Linda Bradford Raschke is so serious about trading that she traded right through the last day of her pregnancy. "You didn't trade while you were in labor?" I asked her half-jokingly. "Well, no," she said, "but then again, it was four A.M. and the markets weren't open. I did, however, put on a trade about three hours after I gave birth to my daughter. I was short some currency contracts that were expiring that day. It seemed like such a good trade that I couldn't bring myself to give up the opportunity of rolling the position over into the next contract month." As I said, Linda Raschke is very serious about her trading." She treats trading like playing an instrument, she has fun and makes a lot of money. That would be my objective too, but with a slightly different attitude - rather beating the market and solving a mystery for the satisfaction of the challenge. Not mentioning that with a lot of money, You can do many good things, giving help to other people and widening Your horizon to some actions, more difficult than making 1000% a year consistently. Some of the targets simply need giant sums of money from the begining to the end and proper management for the rest of one's life.
1000% a year isn't 20-100% per day using 400:1 leverage and risking a 98% drawdown though, it's an average of less than 1% per day compounded which is within the capabilities of most professional traders, but they only manage to achieve such returns with prudent money and risk management and by using leverage wisely and rarely above 10:1, they trade slow but sure. These are things which 95% of new wannabe 'traders' (gamblers) don't understand and the main reason why they lose. You're a classic example of the average 95% club member, you're after a fast buck, overleveraged, underfunded, and caught up in the thrill of the game. Rule number one in any investment, always look at the downside risk first before salivating over the upside potential
Show me a trader who did not start with big % losses (I am not speaking about lucky ones, but traders who make a lot of transactions). The first task in this business, I think, is to learn to protect Your capital, that is - not to lose. If You learn, how cut losses and have a good method, with high probability, in some moments You can risk more, like -5% or -10% and have +15% or +30% on average on such a trade. If You want to have these big bucks extremely fast, You must have the ability to protect the capital, but also have the guts to risk these 5%-10% at some high-probability trades. I mean f.e. situations in which, Your trade without TP is already +5% and then You see, that it should go much further. Then You can protect 23% of what You earned with it, which is already a lot, and allow the profits to rise without limits to a level of 90% extreme overbought/oversold of a chosen timeframe. Then go make Yourself a coffe or play with Your child for 2 hours (days, weeks), come back and see what happened. But You must have guts to do it.... ("Oh my god! What am I doing??!! I risk 4% of my capital!! I must close the trade!") I think, it is not that difficult to make that 1% a day and to become a market wizard, after You have a good method, know when and where to cut losses and when not to play.
That's the difference between you and me, I never take a trade unless it has a probability of being profitable, there is no degree of high or low probability. I also never risk more than 1%. My account equity curve is smooth even with a series of losing trades and because of the limited risk there is very little emotion. You're talking about locking in profits and letting winning trades run which is what every trader should do. Shall we wrap it up here because I don't think we're ever going to agree Good luck and Good trading.....and yes, it's not too difficult to make 1% per day on average but 10% per month is more comfortable and still an exceptional return, daily targets suck!
1.To perform 100% per year on 100 k$ is equal to perform 1000% per year on 10 000 $ and 90 000 $ invest in cash or zn . ************************************************ 2. a.To perfom 1200% per year on 2k-10 k$ is difficult (one operator from 1000) but possible if operator go with great risk +20% one day -35% second & b. to perform 1% each day ,that equal 1200 % per year ,but strong regulary each day 1% in occasion ,which is more as multiple bln. time#s rare as in case a. From game theory point of view .