Choppy Market? "Everyone is already stopped out and it's not even 8am."
- Thread starter Scataphagos
- Start date
they are simply not traders at all.... traders who make money wouldn't need to write fear mongering articles for a living.
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Most likely, more like a summer rally ;maybe , maybe not , like a 1st quarter or last quarter up trending bull market .
Hint =its still UP above 200 day moving average [SPY QQQ......] I shop @ WMT quite a bit- but that does not mean an uptrending WMT/good dividend.......................................................
I would totally welcome a full onset of a mega bear market! That means volatility will be high! That would be a dream come true for traders! Wild intraday swings of hundreds of points or even a thousand points drop or rally. Traders thrive on volatility. Investors thrive on low steady gains.
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Yes investors commissions are low, but that is
not really the main reason for all the investors profits...…………………………………………………………………...Thanks for the comment
They have different objectives. Investors would be elated to be getting 20% annual return. For traders, they can bang that out in a good month. Yes, traders generate more commissions but also higher returns.
But in the long run, they might NOT necessarily generate the greatest wealth. Warren Buffet buy in the hundreds of millions to billions and hold positions for years/decades and let it grow to tens/hundreds of billions over time.
After a certain size, traders have to be a bit longer term. You CAN'T swing around a billion in an out in a few minutes. You gotta hold.
However, with technology to spread out a lot of positions and monitor them in real time and get in and out then you can probably move tens of millions every few minute. But that infrastructure is not really available for retail traders.
But most of us retail traders will not get to that size to be concerned! LOL. If the goal is to kick out a few millions a year trading, then with a lot of hard work some luck and persistence perhaps the top .1% of retail traders can get there.
Correct!
Investors and Traders likely make the same for the time invested, a investor likely spends 2hours per week researching, where as a trader spends 30+ hours per week actually trading.
Small account here I can literally double it on a good day, never going to get rich cause I don't have more $$$'s in my account it's instantly, profit, withdraw put to 1 side if rainy day fund low or buy a new mountain bike if not
I feel like I should do some swing trading in addition to daytrading NG. While a $1K day sounds nice, it's hard to do it consistently. I will continue to practice and get rid of my bad habits and mistakes.
But looking back at NQ charts. I was long on the night of 8/7/19 but I lost money because I was early. I should have waited for a clear reversal signal. But luckily I got out at a smaller loss.
Anyhow, long story short. That's a 300 pts swing from the near the lows of 8/7/19 to 8/9/19. Of course, no one will nail it perfectly. Let's say you get half of that move. 150 pts. Even on 1 NQ lot that's $3K over 3 days which is $1k/day. with very little work. I mean you probably have to put your stops carefully and casually monitor it.
On 2 NQ lots swing for 150 pts over 3 days that's $6K. Now you talking average of $2K/day without constant staring at monitors and burning commissions and whipsawing left and right.
Daytrading you have to be intensely focused and dart in and out.
I'm improving in daytrading. But I think I should add swing trading in the mix.
My only concern is the WIDE stops you have to put in for swing trading. You swing traders out there, where do you place your stops? I've swinged traded in the past. There can be some wild ride.
Nothing is a free lunch.
But looking back at NQ charts. I was long on the night of 8/7/19 but I lost money because I was early. I should have waited for a clear reversal signal. But luckily I got out at a smaller loss.
Anyhow, long story short. That's a 300 pts swing from the near the lows of 8/7/19 to 8/9/19. Of course, no one will nail it perfectly. Let's say you get half of that move. 150 pts. Even on 1 NQ lot that's $3K over 3 days which is $1k/day. with very little work. I mean you probably have to put your stops carefully and casually monitor it.
On 2 NQ lots swing for 150 pts over 3 days that's $6K. Now you talking average of $2K/day without constant staring at monitors and burning commissions and whipsawing left and right.
Daytrading you have to be intensely focused and dart in and out.
I'm improving in daytrading. But I think I should add swing trading in the mix.
My only concern is the WIDE stops you have to put in for swing trading. You swing traders out there, where do you place your stops? I've swinged traded in the past. There can be some wild ride.
Nothing is a free lunch.
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