Educate me. I thought 50% a year was good

QQQShort · Jul 13, 2005

Quote from candletrader:

50% per year, on a consistent basis, is fantastic and is all we professional traders need to make a great living from this trading game...

Agreed.

ElectricSavant · Jul 13, 2005

Thanks for all the time you guys are spending with this novice. Millionaire status Wifey prefers, but she is pushing me to be more successful just now. I personally don't care, but she believes I can do it. They say behind every successful man is a successful woman...lol..

I think I would enjoy making some people some money, I just don't know how to attack it. I do not want to talk to clients, I know this...I am a terrible salesman. I would tell them only the negative things about my system, as I do not want the pressure. Its hard to be the trader and the salesman for me...been there done that...hated it. I am just a pure trader and I need to do what I love with more capital.

Michael B.

Quote from Mvic:

Micheal, unless you aspire to billionaire status you can do very well just trading your own small capitol year after year and save yourself a lot of pressure and headaches (you have read Marty's book i am sure).

I have been offered OPM many times but I have made a good return and I don't even trade all my own just a small fraction each year so have not found it to be worth it.

Good luck and happy that things are going well for you and yes 50% a year is very good, esepcially if you can repeat year after year.

coolweb · Jul 15, 2005

How come you don't trade forex futures?

The margin on those are way better, $3k controls $100k

Just $50k capital you can control quite some coin

LoosenUp · Jul 16, 2005

Quote from ElectricSavant:

I recently got a PM telling me what some people are making trading their own systems, working for prop shops. Those days are over for rebate traders/scalpers, but there are probably new ways exploited now.

It set me back a notch. I am told I am trading an "investment grade" system, not a "trading grade" system.

Should I be pursuing triple digit returns or should I continue plodding along with controlling drawdown and setting my goals at 1:4 max risk to cumulative profit ratio?

I guess what I am asking, is what is considered a good system? I realize this has been asked before, and I have even answered some people in those threads, thinking I knew the answers, for which I apologize now, in light of this new information I have received.

To get into the insiders club/circle, how much do I need to produce? 50%?....100%......1000%....9000%...I think drawdown should max 20% right? with a minimum of 2 years track record right?

What is Traders Grade? and What is Investment Grade?

Michael B.

P.S. I do not have a degree and I am not a quant...just a pure trader. So HF's will not have me, I don't think. Now don't laugh, I trade Retail Spot Forex.

Electric,

Since you ask this question, what do you think, knowing what you know about yourself and your system now, is the kind of return you can achieve consistently every year, with a max drawdown of 20%? What % return do you think your system "Cash & Carry" can achieve per annum?

MacroEvent · Jul 16, 2005

A FCM broker principle recently told me, a system with only a 30% yearly return and never more then 10% drawdown during the year would bring me more money to trade then I would know what to do with--------I was shocked by this actually. I had always thought 50% and 10% was the levels that would start to get you some interest.

ElectricSavant · Jul 16, 2005

The scaling techniques I use and the method of positive interest differential in one of the systems that I trade do not permit the use of Futures and actually is quite dependent on the tools and the platform provided by the Market Maker that I am currently using.

Michael B.

Quote from coolweb:

How come you don't trade forex futures?

The margin on those are way better, $3k controls $100k

Just $50k capital you can control quite some coin

ElectricSavant · Jul 16, 2005

I can get 25% with a 8% DD in a 365 day period

I can get 35% with a 20% DD in a 365 day period

I can achieve a 1:4 max risk to cumulative profit ratio within 365 days.

I am constantly trying to improve stay tuned...

Loosen up, I thank you for this question and giving me the opportunity to think and answer. You guys really are being the friends that I need. You are anonymous and I know I am being silly...But Thanks...

Michael B.

Quote from LoosenUp:

Electric,

Since you ask this question, what do you think, knowing what you know about yourself and your system now, is the kind of return you can achieve consistently every year, with a max drawdown of 20%? What % return do you think your system "Cash & Carry" can achieve per annum?

ElectricSavant · Jul 16, 2005

Mac..Event,

This is encouraging.

Michael B.

Quote from MacroEvent:

A FCM broker principle recently told me, a system with only a 30% yearly return and never more then 10% drawdown during the year would bring me more money to trade then I would know what to do with--------I was shocked by this actually. I had always thought 50% and 10% was the levels that would start to get you some interest.

Free Thinker · Jul 16, 2005

50% would put you in the top 1% of all traders in the world.

ElectricSavant · Jul 16, 2005

Ok,

I cannot consistantly claim that status, but half of it perhaps. Not bragging, just getting perspective. Thanks.

Heck I have only been trading Cash & Carry for a couple of months...lol I got some years left to build a track record and to make reasonable decisions as to expectations.

But, I am confident enough if somebody wanted to own me that I could make us some conservative money.

Michael B.

Quote from vhehn:

50% would put you in the top 1% of all traders in the world.