I concede this thread. Between NoDoji making 1,000% per year and EMG claiming you need 500k to trade 1 contract And Bhardy who doesn't know what the notional value of his contract means even after I explained it. Before I was angry.. now I'm just perplexed. Happy to concede.
For fork sakes, would you please shutup??!!! I consider this whole ignore option to be childish, but in your case, you're nothing but spam. [You are my first ignore]
I think that's your first good idea I've heard from you.. I will also take this action. EMG you're on my ignore...
Bhardy is not trading futures. I don't understand why this is hard to comprehend. He uses the UK arm of fxcm, and they let their users trade gold and oil for miniscule amounts. It isn't something I would do as I assume you are trading against fxcm in those markets. Any good, consistently profitable SCALPER can do what NoDoji does. She doesn't consider herself special either. Drop the ego.
Exactly, but no you aren't trading against FXCM. Lucias, If it is true that a standard oil contract pays, $10 per 1cent change, then the notional value of an oil contract is $10 X 100 X Current price of oil. Atleast, that's how I chose to think about. I really only care about the cost/benefit per unit change. About $109, 084 if I can use my CFD as reference price.
@bhardy307 Contract size of CL is 1.000 barrels WTI. So at the current price the value of one CL contract is about 110.000 $.
Yes, I understand that. The $10/unit (getting closer to 9$, now) change results as a consequence of the 1.000 barrels. 1000 barrels/Price per barrel. Or is it reasonable to think about it in this way?
Lucias, I used the gold comparison for the following reason. Though 1 contract of oil may be 1000 barrels, 1 contract of gold for me is only 1 ounce of gold. In terms of unit change, the contrast is this: $10/$.01 change of oil, VS $1/$1 change of price of gold. I am telling you, that I, with my very limited experience, can earn $15/day trading 1 gold contract. Assume 240 trading days in a year. Thats $3600. So trading 1 contract, I can generate the equivalent of 2 ounces of gold in one year. So, if I can generate that much, why do you believe that NoD can't generate the equivalent of 900 barrels, trading 1000 barrel contracts at a time? You were suggesting that the most she should be able to generate should be between 200 and 300 barrels. So, extending that logic, you are telling me that I can only generate 20 to 30% of an ounce of gold???
Here is an interesting article from prestige school University of California, Berkeley (HIGHER EDUCATION) did a study traders just lose. http://faculty.haas.berkeley.edu/odean/papers/Day Traders/Day Trading Skill 110523.pdf On average, individual investors lose money from trading. Barber and Odean (2000) document that the majority of losses incurred at one large discount broker in the United States can be traced to trading costs. However, trading costs are not the whole story. On average, individual investors have perverse security selection abilities; they buy stocks that earn subpar returns and sell stocks that earn strong returns (Odean (1999)). In aggregate, the losses of individuals are material. Barber, Lee, Liu, and Odean (BLLO, 2009), using complete transaction data for the Taiwan market from 1995 to 1999, document that the aggregate losses of individual investors exceed two percent of annual Gross Domestic Product in Taiwan. Recent Recent research documents that a host of variables (e.g., IQ, cognitive abilities, geography, portfolio concentration, age, and past performance) reliably predict crosssectional variation in performance.1 But even the most skilled stock pickers in these studies are unable to deliver a return that covers a reasonable accounting for transaction costs. Thus, it remains an open question whether some individual investors can profit from speculative trading.