I day trade stocks, 1 minute chart, small size, about $1K per trade, average profit rate per trade is about 0.05%. Typically only 1 trade opened at any time.
A couple of things. First, scalping and day trading are not exactly regarded to be the same thing in most circles. Second, the notional value of each trade is about $1k? Because, if so, 0.05% profit is only 50 cents. Do I have that right?
If you are scalping futures, first 100% goes to commissions, fees and data. If you doing long term or even swing trading stocks, fees are minut. I got good at long term first then spent twenty times plus to learn scalping and lost 6 figures before got profitable and another seven years to get consistent. Maybe am just slow to learn. Most of hedge funds are long term, less than handful made it on intraday trading. Guys in the pit made huge but majority squeezed out to get by. Very few can scalp for decades, wears on body and mind. But once learned, you always question yourself why it took so long. Starbucks time in Seattle
Short answer, yes. Not notional, for a $100 a share stock, I bought 10 shares each trade, commission free. Of course in reality each trade is + - >> 50 cents but expectancy is 50 cents. 10-20 trades a day and I get a free Big Mac.
Okay, thanks. I thought maybe taowave and I got something wrong in our interpretation. All told, I think you may want to refine your method somewhat.
im pointing out a market trend right now. more people are trading short term now because online trading platforms allow that its a fact. just like otc market was hot at some point. or the premarket chinese pumps or afternoon pumps before.
Sounds like a plan. But you should be fairly discriminating in what you view as an acceptable risk BO, and base that selectivity on sound testing. Just my opinion, of course. Good luck.