I read that Daytraders want to make a living from only a few grand, So why don't they just set a small hamburger stand? Flipping burgers beats daytrading: Burger stand: most people make at least a modest living from it, if you have work ethics. Daytrading: Nobody ever made a living, there has never been a DOCUMENTED profitable daytrader in the long run. Burger stand: you will never starve (eating burgers) Daytrading: you must set money aside, or dig into your trading capital in order to eat. Burger stand: you can even sleep inside the burger trailer. Daytrading: if you depend on daytrading profits to pay rent/mortgage, you'll end up homeless. Burger stand: you can meet interesting people, that can refer you to a real job. Specially true if your stand is located in the business district. Daytrading: you sit alone at home, losing social skills. Burger stand: You can always resell the burger stand, to get back at least some of the capital invested. Daytrading: losses are permanent, and increase with every trade. Reality bites. Leave trading for those of us who: A. Have 6 or 7 figures to invest. B. Have other jobs or income, so we don't depend on trading profits to make a living. C. Can wait for months or years before getting profits. What are you waiting for? To lose it all and become a homeless beggar or freeloader? Stop being a commissions-generating fool, and start making a living!
You tought you would end up like this: <img src=http://aftermathnews.files.wordpress.com/2008/11/jim-simons-renaissance-technologies.jpg?w=222&h=322> But you need to do this: <img src=http://e.maivoo.com/upload_images/humbege11.jpg> So you don't end up like this: <img src=http://www.profilebrand.com/funny-pictures/category/people/477_i-want-change.gif>
LOL.... It is interesting to read. And the truth hurts for many. Less than 5% of daytraders make serious money. The rest want it so bad that their "Wants" out rule their "Logic". I know a few traders, no longer day traders, more like Traders. They did get started as daytraders at my old prop firm. They were and still are 7 plus figuers a year. Each one of them had draw downs that were huge, each one of them had to struggle to find a new edge, but all in all....they are very successful. Hell, I was taught by one of them. However, I think the most I made in my final year of trading was 300k. That was it. I traded for 9 years. Reality set in and I finally understood that I would not be a Million dollar producer daytrading. Dynamics were changing, market became more and more "manipulated" and High Frequency Programs were starting to kick in. I handle my own money for investing. I do decent enough to grow my "Fun" money. However, I make more now in the Private Equity World than I ever did trading. I build relationships with Millionairs world wide, help connect them with other "Potential Business Partners" and I become a "Rain Maker" I essentially trade human capital now, but its for a WIN/WIN situation. If it does not benefit everyone, then the deal does not get done. Making money is the Name of the game in Capitalism. Does not matter if you open a hot dog stand, Become a PIMP, etc. As long as you do it in a ethical way, yes PIMPS are ethical to a point. But to dwell in a situtation where the carrot is always just one step away..but never grabbing it....will put you in the poor house.
But you have to deal with the public. What if you had a complete A-Hole for a costomer? What if he comes around each day and tells you that it's impossible to make money with a hamburger stand? How do you handle a situation like that? Probably drive you to daytrading.
At least in the US, selling burgers is not that simple. Health laws, legal protections....then, would you like to take a few days off once in a while? You need an employee--more laws, requirements, insurance, problems. The people who think a thing is easy are those who have never tried it. Trade vs. run a small business? I have done both. Give me trading any day. All that can happen to me is that I can lose money. And I know exactly how much I can lose on any given trade before I even make it. Piece o' cake.
At least in the US, selling burgers is not that simple. Health laws, legal protections....then, would you like to take a few days off once in a while? You need an employee--more laws, requirements, insurance, problems. _______________________________________________________ Good point.
Why are you putting the photo of a profitable daytrader( Renaissance average holding period = 15 min ) with documented track record just after saying they don't exist??? Are you really that stupid?
You don't get it. Smart traders trade other people's money. That's where the money-making potential lies. How many burgers will you need to flip to match the 1,5% management fee of a small $200M hedgefund? Ninna