From Micros to Millions: 2% per day

[scalpi]

maximum 2 lots, around 30 to 40 rt a day

 

[syswizard]

Yesterday was Losing Day #1. Yesterday was a chop fest and I ended the day down $27 after commissions.

Well as we all know it's practically impossible to predict whether the day is going to trend or chop. If you are scalping, that should impact you much less than what swing traders would experience.
One day is no big deal. If you can maintain a string of winning weeks, you're way ahead of the game.

 

[virtusa]

I hope that the scalpers realize that a FTT for futures (0.02% on notional value) will kill them.

At index 3400 (ES and MES) you will pay for a RT: 3400* 0.02%*5*2= $6.8 or 1.36 points.

Better pray that Kamala can not impose that tax or the scalpers are toast.

@sstheo makes average $2.79 per contract. With a FTT he has to pay per contract $6.8. So loss per contract is $4.01. He will have to triple almost his average profit to make any money.

 

[Overnight]

I hope that the scalpers realize that a FTT for futures (0.02% on notional value) will kill them...

Until the actual text of the bill comes out, this is idle speculation. And it is dangerous.

 

[Gaslight Capital]

Better pray that Kamala can not impose that tax or the scalpers are toast.

Do you think any corporatist American politician beholden to the donor elite class is going to do any such thing? Biden has out raised Trump $5 to $1 from Wall Street. The only time you will ever hear about a transaction tax is once every four years when it is trotted out like holiday ornament.

FTT is not coming to be anymore than section 1256 is going away.

 

[SunTrader]

His biggest problem is his small net profit per trade. $2.71 average per contract per trade. 2 ticks net profit, that's half a point.
For me a system with less than 1 point profit is not viable. Profits are too small and he will need a very high number of winning trades to survive.
If he would make 1 point per trade his commission would lower and be 15%.

Yup whack-a-mole for peanuts - regardless of commish.

 

[SunTrader]

Reminds me of:

 

[virtusa]

Until the actual text of the bill comes out, this is idle speculation. And it is dangerous.

Why is posting this dangerous?
I learned to be prepared. Forward looking.
I apply the saying "Don't break your head on what the market will do, break your head on what you will do in recation to the market." in everything I do.

 

[virtusa]

Do you think any corporatist American politician beholden to the donor elite class is going to do any such thing? Biden has out raised Trump $5 to $1 from Wall Street. The only time you will ever hear about a transaction tax is once every four years when it is trotted out like holiday ornament.

FTT is not coming to be anymore than section 1256 is going away.

I never said the tax will be applied. I just want to draw attention to it, so that scalpers keep it in mind.
I live in Europe and overhere they speak already about such a tax about a decade, but it was never realized.

 

[Laissez Faire]

I never said the tax will be applied. I just want to draw attention to it, so that scalpers keep it in mind.
I live in Europe and overhere they speak already about such a tax about a decade, but it was never realized.

I believe a few countries in Europe already tried it. At least they did in Sweden:

When Sweden began taxing financial transactions in the 1980s, bond trading fell by 85% and futures trading fell by 98%. By 1990, more than 50% of all Swedish trading moved to London. The tax was declared a failure and repealed in 1991. Recently, Sweden’s Finance Minister Anders Borg quipped “between 90%-99% of traders in bonds, equities and derivatives moved out of Stockholm to London” because of that FTT.