A Daytrading Plan (financials only)

earth_imperator said:
@MacBookProHo, just say how much your rolling annual performance in percent is, no need to know your exact account size, though this matters too! So also tell us at least the number of digits your trading capital has. Ie. 6 digit, 7 digit? or more?

Rationale for this last question is: with a bigger acct other (better) trade possibilities can be made than with a small $10k acct, obviously IMO.
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Well, let's just say I beat the S&P annual average, by a significant margin.
I trade boldly, I'm definitely not a mutual fund investor or dividend collector type or risk profile.

Use your imagination. If someone can generate six figure days, or even cross the million mark. How much of a bet would they need to place for that to happen,
It's much lower with options compared to futures or stock to generate the same money return, since the % return is much larger.

I disagree with your last part, trading is trading. It's all about knowing the future of something. That's all that matters. There are no better or worse things and styles to trade depending on account size.
 
MacBookProHo said:
Well, let's just say I beat the S&P annual average, by a significant margin.
I trade boldly, I'm definitely not a mutual fund investor or dividend collector type or risk profile.

Use your imagination. If someone can generate six figure days, or even cross the million mark. How much of a bet would they need to place for that to happen,
It's much lower with options compared to futures or stock to generate the same money return, since the % return is much larger.
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Ok, let's do some maths...:
A 6 figure day means a profit from $100k to $999k, let's take the middle of it: $500k.
Let's say these $500k represent 10% day profit (yes, with options it's "easily" possible if one is good in predicting the right direction of Spot or IV or both).
This then means an account size of at least $5,000,000.
IMHO.
Right? :)
Hmm. If one can make $500k in a day, then the acct should be much bigger than "just" 5M...
 
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earth_imperator said:
Ok, let's do some maths...:
A 6 figure day means a profit from $100k to $999k, let's take the middle of it: $500k.
Let's say these $500k represent 10% day profit (yes, with options it's "easily" possible if one is good in predicting the right direction of Spot or IV or both).
This then means an account size of at least $5,000,000.
IMHO.
Right? :)
Hmm. If one can make $500k in a day, then the acct should be much bigger than "just" 5M...
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What difference would it matter to you if I said my trading account size was $40,000 or $100,000 or $3,000 or 11 million, or six million, or 34 million or $220,000 or $61,000 -- or if I'm just a paper trader,
 
MacBookProHo said:
What difference would it matter to you if I said my trading account size was $40,000 or $100,000 or $3,000 or 11 million, or six million, or 34 million or $220,000 or $61,000 -- or if I'm just a paper trader,
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Then you should question yourself, I would say.
Did I get it right: all the time you were just talking of your success in your paper trading acct?
Oh man!
I think I no longer should waste my time with such foggy shaet, nothing else it.
 
earth_imperator said:
Then you should question yourself, I would say.
Did I get it right: all the time you were just talking of your success in your paper trading acct?
Oh man!
I think I no longer should waste my time with such foggy shaet, nothing else it.
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You are digging too deeply into me, or have too much free time.
If I showed you my broker statement displaying I have 43 million in it......and I want you to suck my dfick....Would you do it? Because I have 43 million in my trading account,
Exactly, you wouldn't do it....regardless if I have 0 or 100 million. -- OR Maybe you would, who knows....Maybe you get turned on by that sort of thing, scenario, storyline,
 
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earth_imperator said:
This might maybe interest you as it's somewhat related to the above said:
https://www.elitetrader.com/et/thre...-and-market-drift.364633/page-14#post-5651283
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I was talking about stocks. Not sure what that thread is about. Futures and commodities would be different up to certain size due to margin req, eg you might not be able to trade some at all till account is in hundreds Ks.

Besides, high liquidity stuff is typically much more efficient, less edge there. So have to go lower as retail, that sets a cap on how much capital can be used for high ROI opportunities.
 
MacBookProHo said:
How much of a bet would they need to place for that to happen,
It's much lower with options compared to futures or stock to generate the same money return, since the % return is much larger.
More...
What types of trades to you execute? e.g. Buy calls or puts? Sell calls or puts? Other?
 
easymon1 said:
What types of trades to you execute? e.g. Buy calls or puts? Sell calls or puts? Other?
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It's all about Timing.
And timing, and timing -- trading is all about f'n timing.
I see so many traders who don't have a rational, logical, clue where the future will be....yet, they choose to gamble anyways. and they lose, and lose.

If you don't have timing, understanding, process, wisdom....then Don't trade.

Directional calls and puts, up and down bets.
Selling insurance is amateur hour. and much, much, much less profit potential.

The Holy Grail is understanding, along with timing. Very, very, few people seem to grasp that.
I sound like a broken record, but if you know the future, or semi know the future, you can get nicely rich in the market.
Or, if you choose to gamble....you'll leave looking like one of the many casino patrons with that sorry look on their faces.
And 2001 A Space Odyssey is such an overrated movie. I've seen it for like the 5'th time yesterday....and I have no idea what the hype is all about.
 
MacBookProHo said:
It's all about Timing.
And timing, and timing -- trading is all about f'n timing.
I see so many traders who don't have a rational, logical, clue where the future will be....yet, they choose to gamble anyways. and they lose, and lose.

If you don't have timing, understanding, process, wisdom....then Don't trade.

Directional calls and puts, up and down bets.
Selling insurance is amateur hour. and much, much, much less profit potential.

The Holy Grail is understanding, along with timing. Very, very, few people seem to grasp that.
I sound like a broken record, but if you know the future, or semi know the future, you can get nicely rich in the market.
Or, if you choose to gamble....you'll leave looking like one of the many casino patrons with that sorry look on their faces.
And 2001 A Space Odyssey is such an overrated movie. I've seen it for like the 5'th time yesterday....and I have no idea what the hype is all about.
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Do you answer this question in that stack o'text?
2001?
What is this, "all over the road day" Is it a full moon out there or what.

"What types of trades to you execute?"
Timing. No shit sherlock.

Do you use price action?
That'd be a simple yes or no, bud.

Do you like the Encino Galleria MacBoo?
 
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