I have been daytrading for about a year now. I am w/ a firm now which has a pay scale in which I receive 25% of my gross profits. Last year I grossed 100K...not bad for my first year, but not anywhere near where I need to be. I have been offered a job on the floor of an exchange where I would be clerking for about 18 months with room for advancement after that. I've heard stories from my fellow traders about the good ole' days when stocks would move ten or twenty points a day. Nowadays people are fighting over nickels. It seems to me like the volatility right now is in commodities. Are things going to turn around on the big board or should I expand my horizons and look at other trading venues. Any feed back would be greatly appreciated. Thanks Newbie
if you made 100k last year all you have to do is move to a firm that lets you keep 100% and your set. no the big moves arent coming back anytime soon. the play now is trade size with small moves.
- the play now is trade size with small moves. - better be right way more often than wrong if trying this approach
I've been down to the merc floor a couple of times...I would like to hear some pros and cons of trading behind a computer and trading on the floor.
I do not use my own money, the firm allows me to trade their money and in return i receive 25% of my total gross profits
but somedays I churn and it kills my net....i'd say i trade about 1 million to a million and a half shares a month.
Gross profits usually means profits before any fees. ie. what your P/L says. 25% is a good payout based on gross. Gross payout were more common several years ago. With the fee structures the way they are today net payouts usually work in the traders favor. If you have a chance to clerk on the floor I would take it, your learning curve will accelerate, and electronic trading will be here when you get back.... good luck
I believe the futures industry is changing. In a few years, the pits may be all gone. When the happens, the clerking experience will be wasted. I would also be wary of the clerking job, if you don't know and trust the employer really well. All you are interested is the after-clerking advancement, and what if it doesn't materialize -- then what have you got? [Richard]