Okay Redduke That statement was not entirely true. They will allow you to DAY TRADE if you have $25,000 more in your account. My wife will not let me put $25,000 in the account, so I trade with $10,000. I was doing really well as a day trader. The trick was learning direction and then learning by practise what would be practical in cents for a move for the day, given certain types of bar patterns. Most often I just set limit orders to sell for my price and didn´t worry about what I MIGHT HAVE WON, if I had stayed in longer. A profit is a profit, small or large and if you do it every time, or cut your loss when an unexpected turn hits you, you do well. I did not hold overnight. No matter the market indications. In this method and below $25,000 you are allowed only 3 trades in a week. On my third trade one time, I entered the darned numbers wrong and had to quickly sell the order, but since I had a $1000 profit, said what the heck, and took it, with another trade, which made a 4th trade. Next day they banned me from day trading as a pattern trader. UNLESS I WOULD RAISE MY ACCOUNT TO $25,000. WIFE would not go along. Subsequently, I have had a 25% drawdown, trying to identify a way of trading multiple days. Think I have it right now and it is SWING TRADING. Anyway, I´m on a winning streak again. How long it lasts, we shall see? This is a work in progress.
Thanks for reply, this clarifies things. What's the big deal about putting 25K into account, especially when you have winning strategy?
Are you enquiring what my wife is thinking, or the Exchange is thinking? I have no idea at all. It´s my money, I should be able to trade how I please.
You have a successful method, why not explain this to your wife? After all, you will both rip the benefits.
obviously like www.elitetrader.com however you need to test the spelling on several of your posts. A number of them are rife with spelling problems and I to find it very troublesome to tell the reality nevertheless I'll definitely come back again.
I'll put you out of your misery When the vol levels increased he changed strategy....pretty simple. No he didn't blow up. Thread just petered out.
i did a little further digging and found that he made an adamant statement in another thread stating it was IMPOSSIBLE to do credit spreads for a living....the increased volatility would kill your account sooner or later
Falcon, I agree with you completely. It's gambling. The volatility will kill you. I have been absent from this forum for the last 3-4 years trying to regroup. People will tell you that you can make a living by trading credit spreads and me I don't see how it happens. You need to have your head on your shoulders and do what is right for you and your family. I haven't posted any of my trades here for a while but I have been trying several strategies some successfully some not. What it takes, IMHO: Position Sizing Technical Analysis Patience Always have cash to support a trade I don't do straight credit spread but a combination. (debit + credit)
How do you guys hedge open gap If you decide to buy some put at a particular strike cost 0.30 cents to hedge but due to open gap the strike now cost 0.90 cents Now you have to pay so much more to hedge