Probability is not the key -- the odds are never fixed like a deck of 52 cards. You need capital to learn, to pay your tuition from the start, that is pretty much a given. But once you make it I think it's "psychological" capital that is more important than actual. Those that play no limit poker can understand, you really have to not care about your chips at risk to be able to succeed. How do you get to that point? Confidence that you can always make those chips back. When it comes to the markets, I am always looking to learn more, to push harder to find new ways to apply greater amounts of capital over longer time frames (position size and trade duration go hand-in-hand, after a certain point). Why? Because even if I somehow blow it all, I know all I need is a few grand to get right back into it -- this gives me the courage to continually push myself. And you will eventually find yourself always pushing, if it's longevity you seek.
tortoise, Your Broker is your prime sub contractor. If you fail in the selection of one with whom you can build an excellent relationship, then you have no one to blame but yourself. Trading is your 100% your business. Your Broker works for you. It is not a partnership. regards f9
You're mising the point that me and others are making about probability . What's more "probable'? Turning 1 million into 2 million or turning 3k into 2 million?
That's kinda, well, obvious though -- is that all the question is asking? I was replying more to the guy who said something to the effect of understand probability = becoming a trader. The rest of my point is just that capital is important -- until it isn't (on a certain, individual level of course).
Depends on which individual Trader you are discussing. Consistently successful Sole Traders do not compare their outcomes with other Traders, they are simply focussed upon their own improvement. regards f9
the reasons are here: with more money to trader: 1-do not trade scared 2-with less money always afraid of losing money 3-trade more on the offensive and not on the defensive..
It is not that simple ..... a string of loses will turn No1 into No2 and No3. Where is the preparation to handle this event. regards f9
Does our brave young Trader add more capital to refresh his/her account in order to recover some courage, or was the courage falsely placed in the beginning. regards f9