Hey comm Well if u ask a person if u have $15K or 50K in the bank account make a lot of difference Cause trading take,s time and if u are willing to learn and spend the time and money for 6 month u will figure out who will be able to survive The guy with the $15K Or the guy with $50K And yes it make a difference cause remember u have to pay house bill phone bill rent and all If a business where %95 of the people fail what are the chances :eek:
Very hard time taking loss If you have to whine about this in a psycho thread: STAY AWAY FROM THE MARKETS.
Hey comm Well if u ask a person if u have $15K or 50K in the bank account make a lot of difference Cause trading take,s time and if u are willing to learn and spend the time and money for 6 month u will figure out who will be able to survive The guy with the $15K Or the guy with $50K And yes it make a difference cause remember u have to pay house bill phone bill rent and all If a business where %95 of the people fail what are the chances Reply: I dont think anyone can honestly learn how to trade the markets correctly within 6 months profitably... that being said it doesnt matter how much money you have (in regards to trading) as Ed Seykota said to someone asking him how much money someone should have before starting trading... "Good money management is equity invariant. I'd ask a trader who thinks he needs a certain amount before he can trade, exactly what amount he would need to stop trading." His point being that there is no dollar amount too little or too big that can allow you to think that starting capital alone is some secret or key to success..
Actually one can easily live on $70K; depends on other factors. If one has no mortgage, no car payment, no credit card debt and no other debt then $70K goes a long way. Too many people in the US are in debt up to their ears with no plan on how to escape it. I always recommend that someone have their personal financial situation under control before pursuing trading full time. A lot less stress when you're trading and have zero debt.
In a while you may want to consider the reality of it all. I often go through a thread and examine the commentary from a critical viewpoint. Do you see the differences among the vantagepoints the assortment of posters have? For anyone to profit (learn from another) it is very important for the person to get all of the considerations taken into account. Talking about WHAT is a consideration. Talkng about HOW is where the rubber meets the road, of course. The WHY of things seems to be the most elusive. And it doesn't get addressed very much. It may be hard to imagine but many people do not have to deal with losses. This is obviously a WHY issue that comes from knowing HOW to deal with WHAT. There was a comment or two on a pair of concerns: 1. having a plan and 2. using a plan. Considerations around plans. This pair probably dooms potential traders more than any other combo. The way I trade commodities probably seems to be unattractive to others. I stay in the market almost all of the time and the market runs the show for me. I just obey all of the time. The concept of 1. taking losses comes after 2. going out even which comes after 3. taking less money than what was available which comes after4. taking off the table everything that is there to take. It is very hard to get to 1., if you are doing 4. all the time. I guess it becomes clear to people at some point that everything up to the point of fully understanding the markets is just preamble. Most people do not have plans ever in their trading. They DO, MOST OFTEN, think that they do however. They may or may not follow this thing that they have; it makes no difference because they are screwed from the get go. Plans and knowing what is going on in the markets are very different topics and considerations. You cannot make a plan without knowing the markets. You can only get to know what is going on in the markets by going through a succession of experiences that introduce you to successive parts of the workings of markets. This dynamic transition is a 100% of the time a learning experience. Most people continually learn to fail. The learning template is where the life of a trader begins. There is no section in it called "having hard time taking losses" learning. Plans? If there were some of them, they would not be understandable to many people.
Taking a loss is like taking a profit You get out of a trade (except don't make much off it). The reason that losses cause so much distress Is the late realization that you could have lost less. The key is to use the methods that choose The setups that are the least likely to lose. And if a stray loss should knock on your door Be sure to let it in before It huffs and it puffs and it threatens to mount An attack that will quell your trading account.
I read Grob's post where he quoted me, but was unable to tell if he was agreeing with me or disputing me. I need some further clarification as I couldn't tell if my post had anything to do with his. (I realize of course, that I am opening myself up to obvious criticisms here).