Don's openings and more for 2005
- Thread starter Don Bright
- Start date
My numbers are net of commissions to GS, but do not include SEC fees....and, of course, only reflect a very small part of my overall trading....just trying to help the newer people get involved in a simple, winning strategy.
Don
I "know people" - so I get a pretty good rate. But, seriously, all shares for anyone (above 1,000 per order), are $4.00 per thousand. The first 1,000 is a sliding scale from a penny per share down to .4 (or less) depending on a number of factors.
Don
Thanks again for the clarification on a tough question.
So for a newbie, a typical commision for 2000 shares would be .01 for the first 1000, or $10, and .004 for the second thousand or $4, for a total of $14 on 2000 shares. That averages to .007 per share.
My guess is that your rate is somewhere around .0030 for all shares. With that in mind Don, I think that people should realize that these continous +$$$ numbers that you post are as a result of not _only_ your extraordinary skill as a trader, but the tremendous commission rate you get.
In my humble opinion, when you state the profits for the day on this strategy, you should _also_ give two additional numbers. Not only what you made given your commission rate, but given the same entries and exits 1) what a trader getting a decent rate at Bright would have made on _his_ commission schedule , and 2) what a newbie that would be getting .007 (average on 2000) per share would have made.
Then people with ooogling eyes can better understand what they are up against.
nitro
So for a newbie, a typical commision for 2000 shares would be .01 for the first 1000, or $10, and .004 for the second thousand or $4, for a total of $14 on 2000 shares. That averages to .007 per share.
My guess is that your rate is somewhere around .0030 for all shares. With that in mind Don, I think that people should realize that these continous +$$$ numbers that you post are as a result of not _only_ your extraordinary skill as a trader, but the tremendous commission rate you get.
In my humble opinion, when you state the profits for the day on this strategy, you should _also_ give two additional numbers. Not only what you made given your commission rate, but given the same entries and exits 1) what a trader getting a decent rate at Bright would have made on _his_ commission schedule , and 2) what a newbie that would be getting .007 (average on 2000) per share would have made.
Then people with ooogling eyes can better understand what they are up against.
nitro
Don Bright,
I was wondering what % of people that come to "work" for Bright Trading actually make it? By make it I mean are able to live off their trading, making over $100,000 a year. I realize that quantifing the amount earned a year for traders is hard but you seem to have a unbelievably consistent strategy, so I would expect people using it would also have consistent earnings.
Also, do the strategies you teach become harder to implement the more people that use them. And if, as stated in "Don's openings," your strategy is so consistent why do you do such little size.
Sorry for being skeptical but I am thinking about trying you out and need to be skeptical before jumping in.
Thanks
I was wondering what % of people that come to "work" for Bright Trading actually make it? By make it I mean are able to live off their trading, making over $100,000 a year. I realize that quantifing the amount earned a year for traders is hard but you seem to have a unbelievably consistent strategy, so I would expect people using it would also have consistent earnings.
Also, do the strategies you teach become harder to implement the more people that use them. And if, as stated in "Don's openings," your strategy is so consistent why do you do such little size.
Sorry for being skeptical but I am thinking about trying you out and need to be skeptical before jumping in.
Thanks
Commissions are a HUGE factor in any short term system's profitablity. Yes, it is very important to know the RIGHT people who can get you a good rate. Of course, you must have a good relationship and track record before getting the best deals on the street....
What I did for a year or more was post the "pennies" of gross profit, and that way everyone can factor in their own commission rates. And, since it takes between $1Mil and $3Million to even enter these few orders, only certain prop traders can execute this strategy. Many enter 4,000 or more, which is obviously cheaper. The best traders in the World make about 2-5 cents per share net, BTW.
Don
Quote from 5yrtrader:
Don Bright,
I was wondering what % of people that come to "work" for Bright Trading actually make it? By make it I mean are able to live off their trading, making over $100,000 a year. I realize that quantifing the amount earned a year for traders is hard but you seem to have a unbelievably consistent strategy, so I would expect people using it would also have consistent earnings.
Also, do the strategies you teach become harder to implement the more people that use them. And if, as stated in "Don's openings," your strategy is so consistent why do you do such little size.
Sorry for being skeptical but I am thinking about trying you out and need to be skeptical before jumping in.
Thanks
Feel free to be as skeptical as you like, I appreciate the chance to respond. 90% of all business ventures fail within the first year or so. About 50% of new traders stop trading during the first year. In most business ventures, you have limited upside, and a large downside, due to your unlimited liability. In our business, you have literally an unlimited upside, and a very limited downside...so you can either see the glass as half full, or more than half full (lol). For example, if you were to pay $250,000 for a franchise of some sort, you would still have to (pick one) "make donuts, sell sandwiches, etc. to try to make back your original investment. In this business, the money you put up is still yours (to hopefully not lose).
About 20-30 percent succeed overall. Better than most "limited investment" opportunites offer.
Don
Don,
Going back to gross profits would probably serve people better, or state both - I for one like to see people with skill make money and getting to the point where I too can get .003 per share is a goal.
There is no question in my mind, ZERO, that trading at a pro firm like Bright is a good thing to do because of the access to capital, and trading at Bright is certainly one of the premier places to trade IMO. If I had a series 7 I would be at Bright tomorrow.
Sadly, I am all too aware of the net per share that we make. If I did not pay commissions, I would be retired by now
Keep up the great work Don and keep us posted on your continued success in OO strategy.
nitro
Going back to gross profits would probably serve people better, or state both - I for one like to see people with skill make money and getting to the point where I too can get .003 per share is a goal.
There is no question in my mind, ZERO, that trading at a pro firm like Bright is a good thing to do because of the access to capital, and trading at Bright is certainly one of the premier places to trade IMO. If I had a series 7 I would be at Bright tomorrow.
Sadly, I am all too aware of the net per share that we make. If I did not pay commissions, I would be retired by now
Keep up the great work Don and keep us posted on your continued success in OO strategy.
nitro