Turning $15K credit card debt into financial freedom

Discussion in 'Journals' started by Redsails, Jun 19, 2016.

  1. Redsails

    Redsails

    ..continued

    In the evening of the same day I quickly deposited $8K to my account bringing my total deposits to $10K and the next day I won $2K.

    Needless to say I was elated. I made plans to become a millionaire by the end of the year. I believed that it was a manifestation of my destiny. I did not know that it was not destiny but some random luck. At that time EUR.USD was rising consistently for a few days and I just happened to start my trading in this trend. The funny thing is that I did not even know there was a trend because I never looked at daily charts. I did not even look at hourly charts. I was trading off 1-minute charts. Just buying low selling high.

    The next day, May 3, EUR.USD reversed its course while I was holding a long position. I held my position for hours hoping that it would get back up but it just kept going lower and lower. I could not understand what was happening. It was so painful. When I finally closed my position at the end of they day I lost more than $2K.

    I was devastated and angry. I withdrew my deposit and closed my account with TradeKing.
     
    #111     Jun 29, 2016
  2. rexlord

    rexlord

    #112     Jun 29, 2016
  3. rexlord

    rexlord

    This is an interesting post.
    "you just need to get lucky a few times" sounds good in theory...
    But if you understand randomness, you can calculate the probability of hitting a very profitable "lucky" trade - the chance is pretty low. It is highly highly likely that you will go through a lengthy losing streak before you finally hit that one lucky trade.
    If you believe in Efficient Market Hypothesis, then it's a zero-sum game. Even if you get one huge winning trade, the large amount of losses will bring you back to $0.
    So essentially you would only be relying on luck - hoping to avoid the long losing streak before you get the lucky trade.

    "Then with a bigger capital you make even more bets and the cycle repeats." - you are hoping to get lucky systematically, which you said you don't believe is possible.

    As for Technical Analysis - some aspects of Technical Analysis can be back-tested and clearly prove that the markets are in fact not random. Though it doesn't necessarily mean that these back-test results are tradeable.

    Did you think about trading options? It may be a better approach. Aggressively trading options hoping that you get rich before Tail Risk takes you out of the game.
     
    #113     Jun 29, 2016
  4. ironchef

    ironchef

    If he had difficulty making money day trading futures, day trading options is as hard if not harder. Being there done that: Not profitable for me. Maybe others could have done better.
     
    #114     Jun 29, 2016
  5. ironchef

    ironchef

    In the past, ET posters reminded me that "hope" was not a strategy. You were basically gambling and not trading.
     
    #115     Jun 29, 2016
  6. I don't fall for these threads, nobody who knows how to read and write would do something that stupid.
     
    #116     Jun 30, 2016
  7. Redsails

    Redsails

    Account is down to $8K, have not had a winning day for a long time.

    Yet, I remember a quote I have seen on this forum: "The number one trait of all successful traders is the refusal to quit in the face of adversity".

    It sounds very true. Stubbornness might not make you a great trader, but lack of stubbornness will surely prevent you from becoming one.

    Nevertheless, I updated my resume and started sending it out. Just in case..
     
    #117     Jul 4, 2016
  8. wrbtrader

    wrbtrader

    Now that your trading account is closed (good decision)...

    What type of jobs are you applying for ?

    How much savings did you have saved up for living expenses until you find a job ?

    Did you ever consider just starting a business in the field of the type of jobs you've been employed or your applying for considering you seem like the type that's a high risk taker that's looking for a change in your life ?
     
    Last edited: Jul 4, 2016
    #118     Jul 4, 2016
  9. not a bad idea
     
    #119     Jul 4, 2016
  10. Shocking it didn't work out.
     
    #120     Jul 4, 2016