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Is Morgan Stanley cheaper than Interactive Brokers?

Mr Jesse Livermore was an honourable man who tried his best to pay back his debts. For that, I respect him.

It shouldn't matter to high networth or long-term investor but most people are not high networth and many traders' style is not long-term. For me, long-term means holding the position for multiple years. For me, I prefer to hold for weeks, months to at most 1 year.

This thread is relevant for those who trade stocks. I had painful experience with huge gap-downs when a company announces their earnings and the earnings results disappointed the markets. Even when the earnings looked wonderful to me, the stock can sometimes still drop in double-digit...

I'm not a short-term trader. Am I right that short-term traders tend to have high hit-rate for their trades? Losing 2% of equity for each losing trade is hard to stomach when there's a string of losses.

I understand you clearly now. If you have a string of losses, say 5 times in a row, the worst-case damage will be 7.5% of your equity. Pretty painful. I guess for those elitetraders who use a high risk limit above 1.5% or even 5%, the hit-rate (probability of being right) needs to be pretty...

Would you mind explaining what do you mean by 1.5% risk limit in forex? For stocks, 1.5% risk limit means the position size of each stock is 1.5% of the entire stock portfolio. This works out to about 67 stocks in the portfolio. There are not that many currency pairs to build a forex portfolio...

At less than 1%, you are holding more than 100 stocks when you are fully invested. That sounds to me like a lot of diversification. Good thing is you'll never be ruined.

At 1.5% risk limit, you have around 67 stocks in your stock portfolio when you are fully invested, assuming you are a stock trader/investor. That's quite a lot of diversification. May I ask how long do you hold your position on average?

Risk limit means the maximum percentage that a single position can take up in your portfolio or net-worth. There's no right answer to this question because a lot of it is personal preference. I would like to know what is the risk limit used by elitetraders here which I can use as a guideline...

Lately, there have been distressing news about big banks cutting trading jobs. I don't work in big banks. As a retail investor and outsider, I find it puzzling. Shouldn't traders prosper in a bull market? We are still enjoying the longest bull market which refuses to die. Wall Street traders...

I watched the video and did not find any special edges that were revealed. Any one spotted the edges that I missed out? I get more benefits reading elitetraders forum than watching that video. Thankfully, no elitetraders here (not that I'm aware) are trying their best to delete past posts and...

Sounds stupid now that I read back what I wrote and comments from other members. Thanks for your feedback. Keep them coming.

18 year 10% annualized net return is not bad but not good enough to grow to as big as $50b. How did they grow to that AUM size with those returns?

I read that article and it did not say he doesn't use price action. I would expect that he does use some degree of price action.

I guess with discount brokerage such as IBKR offering good platforms at low-cost, the big boys like Deutsche bank can no longer compete in the equities space. Hence, the exit.

Exactly. The American economy, including any rich economy in the world, will lose its dynamism if the Steve Jobs, Bill Gates decide to take big risks when they reach 70.

Be careful and take care. Have fun taking "unnecessary risks". LOL. No right or wrong. Just enjoy yourself having fun :)

How big is the risk to the person is related to how much the person is risking with respect to his total networth. As for sky diving, I will never do it personally. It's a matter of perspective. I see mostly risks but negligible monetary returns in sky diving. It's unnecessary risk to me. It's...

Ah ... I see. Proper position sizing will save the 70 years old from disaster. But if you put $100k at risk and this amount is small enough that it will not affect your quality of life going forward, that's not taking big risks anyway. Big risks to me means risking most of your networth.