Alright, so I want to get into trading. I know this is what I want to do for a living, as I know I have the discipline and dedication to succeed and that I want to go with a prop firm. Problem is, I don't have $20-30k anywhere. Parents aren't rich so can't go there...and saving this amount will take too damn long even though I live way below my means... So my question...do you think banks, gov't, etc have a loan or something out there? Considering its day trading would it be difficult to obtain? Ideas? Anyone with experience, advice (or even an amount I could borrow, heh) would be greatly appreciated. A little about me: college degree, good credit, eagle scout (for what its worth.)
You can go prop with 5k. If you are serious about trading you should be able to save that before too long. In the meantime, if you don't already, get a real time data feed and a realistic simulator. If you can make money in real time sim trading maybe then you should think about borrowing. I don't recommend it. Being smart and motivated doesn't guarantee success. Most people get into this expecting to do well, and most fail miserably.
thanks for the responses so far, which firms allow 5k to start? I could probably travel and stay somewhere for awhile, 'cause there are no prop firms in Seattle...so I'd most likely be remote..
I want to open a McDonald's franchise but I don't have the 2 million to buy one. Why do you think trading is any different? Get a good job and save up 25k plus 2 years living expenses and you have a chance. Even if your lucky enough to get some good training at a prop firm.
I started this business with 2k down. I did lose that but I showed potential and my firm backed me. I only lost high commissions anyway. Any decent churn shop with training will take a good candidate with a few k. No way I'd be where I am now (which is being able to grind out an OKAY living) if I had to save up 25k.
I'm sure a bank won't laugh you out of the building if you ask to borrow money for a McDonalds vs. wanting to borrow for trading...but hey its worth a shot.
The problem lies in the fact that you need $25k to get around the pattern day trading rule. If it were not for that.....you could trade 10 shares of the QQQQs and establish the fact that you can trade. Once you do that the money will follow. Most will start with too much size and blow out there account while learning. I will never understand why new traders feel the need to trade 1000 share lots. You said you have good credit. Most banks are still offering 0% teasers for a year and they allow you to transfer cash into your account. The payment would be about $200 a month for $10,000 and its a stressful way to start, but possible.