In theory if you get in from day one and leverage up you can generate exponential capital gains, but that almost never happens so you would be a statistical anomaly. The margins of error between success and failure are too small, hence why everyone focuses on income.
Anyone Made 100%+ a Year Consistently With Futures Or Know Of Anyone Who Has?
- Thread starter RichLyons
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In theory if you get in from day one and leverage up you can generate exponential capital gains, but that almost never happens so you would be a statistical anomaly. The margins of error between success and failure are too small, hence why everyone focuses on income.
Thanks! I wi
Thanks for the feedback. The only anomaly that was applicable to me was that I didn't blow up sooner.
Regardless of what the world wants everyone to believe, pyramiding does work because society is built on it, however it's a fundamental process which ebbs and flows meaning any attempts to create technical rules will fail, the only question is when not if.
A lot can happen in that 'when', the key to pyramiding is having more experience, less risk, and always exploring 'why'. In designing the architecture was testing some pyramiding and triggered a broker algo to delete the stops. Did not expect the brokers to have that in place, so put in some workarounds and solved that problem, little buggers.
Pyramiding is incredibly dangerous for 99.9%, the other 0.1% use it to make their wealth with 'unconventional' methods, basically because they're not smart enough to do make money the correct way. We use pyramiding as a defense against those methods, two negatives make a positive, works very well, you need to know what the other side are capable of before you can break down the barrier to success.
Ideally never trigger them but these days everything is so perfected you will trip over and never know they are there, the less experience you have the less chance you have of making any money. The trick to learning, use as much leverage as possible 500:1 or more with as little capital as possible, every time you trigger one of those pyramid mines it won't touch your core capital. Or just trade so slowly that you are outside of the core normal distribution, which is where the pyramid structures feed on your lack of experience and knowledge.
It's funny how some traders make 100% on a few trades think they can sustain that return on their whole account forever...