Huge Traders, what was the process like from risking little to huge?

I

iamnewuser911

Those who risk a lot per trade what was then process like? 50/trade, then becoming 500/trade then 2k/trade. Etc.

What are your stories/tips or what advice can you give on progressing to your level of capital?
 
If you think about it...it's all the same...regardless if you have a large account, or small account. it's the same principles strategically and psychologically. what kind of magical answer(s) are you looking for?

(i like your username -- i like Porsche 911. my favorite is the 964, the early 90's generation)
 
lawrence-lugar said:
If you think about it...it's all the same...regardless if you have a large account, or small account. it's the same principles strategically and psychologically. what kind of magical answer(s) are you looking for?
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More about how he progessed psychologically, sorry.
 
iamnewuser911 said:
Those who risk a lot per trade what was then process like? 50/trade, then becoming 500/trade then 2k/trade. Etc.

What are your stories/tips or what advice can you give on progressing to your level of capital?
More...

Percetange on capital and it's all the same, whether it's cents or thousands.
 
lawrence-lugar said:
If you think about it...it's all the same...regardless if you have a large account, or small account. it's the same principles strategically and psychologically. what kind of magical answer(s) are you looking for?

(i like your username -- i like Porsche 911. my favorite is the 964, the early 90's generation)
More...
Really? When I started in 80s in S&P500 futures, you needed $25k for margin and nothing watered down like ES, after I got the hang of it in the 90s, I went from one lot to two lot and it was emotions each day like riding in a F-16 jet. Each tick was horrifying for several weeks, it is amazing what the brain adjusts, before I knew it, every other month was adding one lot till I eventually got to twenty lots. Then the watering down started of $500 a point to $250 a point and ES at $50 a point. But I do remember early on it was very emotionally scary, always thinking can I do this or am I on some wild kick ass good streak of luck. Yea, the first few bump ups are by far the worst, you get a whole new meaning of keeping spare shorts nearby, a pail just in case and constant asking-is it hot in here or is it me.
 
Autodidact said:
Percetange on capital and it's all the same, whether it's cents or thousands.
More...

Well yes but it sure feels different having a 20% swing on a 500,000 USD account as opposed to a 50,000 USD account or even a mini 5,000 USD account. The small accounts can easily be refilled from the day job or elsewhere if you screw it up. Not so easy with a 500,000 USD account.

Don't really have an answer to this apart from using less trade size as a percent of total as the account grows. Maybe not optimal for absolute growth but once your account gets to a certain size then you need less annual return to live off. Often seems to me this is the difference between those who 'just' make a million from trading and those who grow an account to multi millions. Some take the foot off the gas whilst others just keep going with same strategy and handle the large absolute value of the swings.
 
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I think you have it backwards. Your question should be "How did you transition from stupid huge risk on a small account to risking reasonably little on a huge account". Traders with big accounts who take huge risks don't have big accounts for very long, just my personal experience.
 
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