You wouldn't have to maximize your margin size - even if you only used 1/2 of your available margin and made "only" 12.5% per day - again - Warren Buffet would be knocking on your door asking for your help. Even if you used only 1/4 of your available margin and made "only" 6.75% per day. Besides, if you've been making 5 ES points per day for a couple of years now, what is the worry?
1% a day is a monstorous return in the futures because of their extreme liquidity. You won't get an answer because these people are charlatans, incapable of doing simple math before they tell their lies to make sure their story "sticks." nitro
Your facts assume a trader wins 100% of the time which you know well is impossible. A scalper wants to be net positive and takes losses into account. You cannot annualize 6% a day because a trader will not make 6% a day every trading day in the year. I shoot for 1 point a day and get it more days than not so I have a net positive gain but I cannot annualize my 1 point a day goal since it is not the reality. At the end of the year I will have my annual gains and each month I can refine my results for a better approach.
You don't trade baseball cards let alone SIFs. If you want to take me up on that, let me know when you want to prove it. nitro
Well, see - that's not how I read it... I wonder if there is some overall average points per day statistics available? Hell, I'll even change my compounding to weekly or monthly. That won't really change much.
Your question as to why someone successful would have a chatroom is valid. I think mostly Bill loves trading and the interaction with traders. It's also because he continues to improve. Won't cost nothing to for 14 days though you can't really grasp what he's doing in that time unless it's similar to what you're already doing. There are several people in the chat room who have their own websites and have traded professionally for several years. Everybody is there to learn. As to your compounding, that is simply stupid to think someone is going to keep increasing his size if that is what you're implying. Re: statistics. Nope he doesn't keep them. Trade along with Trade Maven and it will keep them for you. I think you should try the room out. Or you could stay on ET and get the advice of mediocre traders who "know it all" yet think more than a point a day is unattainable. Of course it will cost you more in the long run than paying someone to teach you how to read the tape.
yes it is simple why people do not continue to scale up --- they reach a psychological level of comfortability and they get suck. they in the end limit their potential profits by "stopping" when they start to trade a certain size that gives them the profits "they feel" they deserve ---- until they "train their way" out of this glass ceiling then they are stuck --- simple. in some cases people just stop scaling up at a certain level because they are actually totally content with their monthly income and that is satisfactory for their needs ---- this is a psychology question and it in NOT about math or potential returns. I know from talking to Billy what he trades and i know that is what he is content with and it is more then what he teaches as the minimum for his scale in method.
I have seen you mention his scale in method. Is that scaling into a position as it goes against your original entry or is that adding to your position as a trade goes your way? Thanks.