Thanks dude...now this Lawerence guy is going to want to do an audit on my trading records the last 23 years. Nice Surf....real nice.
I'm 21 years old, couldn't enter University, planning to trade full-time.
- Thread starter zenon12
- Start date
Thanks dude...now this Lawerence guy is going to want to do an audit on my trading records the last 23 years. Nice Surf....real nice.
Yeah, my guess is he/she is a highschool junior doing a project. Just doesn't seem to get it.
As an accomplished trader, what advice would you give OP ?
Here's my 2 cents:
First of all he needs to be realistic. It takes a LOT of time to get to the place where you are consistently making money. It can take years and years of very hard work and dealing with draw downs/failure at times. You will think you have it down and are on a roll, then go into draw down periods where you start thinking you can't do anything right. I always tell people that the great thing about being a trader is each day is never the same. You never know what you will be dealing with each session. For my personality that's great. I can deal with feeling like a champ one day, then a chump the next. I never get too high on the great days or too low on the bad days. The OP better be able to deal with that. Trading is a complete mindf*ck at times. To me if he doesn't think he can deal with the above, then don't bother.
As far as his situation? I would say have 1 year of living expenses saved up if he doesn't have a job on the side. When I say a job on the side I mean a job during non market hours. If he wants to make it as a trader he'd better plan on sitting in front of the screen during market hours. Some might say 1 year is a bit much, but why put anymore pressure on yourself? Trading is enough pressure.
I'm not sure what he plans on trading, I don't think he said....but whatever he starts trading in, trade TINY size. If he is a futures guy make all of your mistakes on one lots. Trade tiny for at least 6 months. I am not a fan of Sim trading as it is nothing close to reality. Between the generous fills and not feeling the pressure of a "live" trade, to me Sim trading is a waste. The only reason to trade on a Sim is to get used to the execution software. That's why I would say have a year of living expenses on the side. As a new trader get it in your head you aren't going to be bringing in any real money for at least a year. My first trading gig was a month after college. I lived at home for a few months. Then lived pretty inexpensively with 3 buddies from college in an apartment. I learned to really appreciate Subway sandwiches.
As far as "how to trade?", I don't think he mentioned any strategy....but my advice. Come up with your OWN strategy. One that you create and will live by. You will learn a ton by creating your own "way to trade". Back test as far back as you can and see how it did during different market environments. Forget these people who "teach" you how to trade. If they were really any good they wouldn't be teaching, they would be trading. I would read books that talk with the great traders out there. Interviews with them talking about how they made it and the mistakes they made, are priceless. Here are some of the ones I like, and re-read each year. You can never stop learning:
The one thing I didn't like when reading what the OP wrote was "get rich" a lot. Huge red flag. If he is looking to get rich quick and just worried about becoming some millionaire trader right away then he probably will fail. Those guys always do. He's a 21 year kid. Plenty of time to get rich and own yachts and all of that. He should plan on living a very "modest" life. Hell, the first year plan on making squat. Could take a few years of making squat. Time will tell.
Sure the money can be great, but you have to want to become a trader for many more reasons. The first being you LOVE to do it. Also if you get to the point of making consistent money you live your life the way you want to. Don't have to answer to anyone. It's a great way to live.
I wish ET had some kind of a sticky thread as EPrado's post is exactly what every newcomer should read.
I also think becoming a millionaire is a silly notion in his position. He should aim to achieve a nice income first, that's a semi-realistic goal. The millions are not impossible but are very far in his future. Just because someone gets his first driving license doesn't mean he should be thinking about winning F1 races.
The feeling of everything working against you is a key point as this can be a mentally devastating job, unlike in professions where you build something you can see, you can't actually know for sure your improvements are working.
At times you will get greedy after good results and you will make mistakes because the "I could do so much more" bug gets you, I'm guilty of this for 2015. When times are bad you might get to be too conservative and that's also a mistake as you will miss many opportunities. There are a lot of mind-games the market plays on you.
I also think becoming a millionaire is a silly notion in his position. He should aim to achieve a nice income first, that's a semi-realistic goal. The millions are not impossible but are very far in his future. Just because someone gets his first driving license doesn't mean he should be thinking about winning F1 races.
The feeling of everything working against you is a key point as this can be a mentally devastating job, unlike in professions where you build something you can see, you can't actually know for sure your improvements are working.
At times you will get greedy after good results and you will make mistakes because the "I could do so much more" bug gets you, I'm guilty of this for 2015. When times are bad you might get to be too conservative and that's also a mistake as you will miss many opportunities. There are a lot of mind-games the market plays on you.
There are techniques employed in which to
Lull in..., and trap traders
Cause traders..., on the correct side of the ultimate move.., to exit early and miss it
Cause traders to load up one side..., only then to get removed from their capital
Cause traders confusion / apprehension / missed opportunity
Capture a trader's SL
These techniques however..., are not hidden..., nor disguised
In fact they are there out in the open - for all to see..., and exploit
Mkt does not play mind games - it simply data - to be read..., deciphered..., exploited
It the trader which plays the mind games - on their self
or not
Tis a choice after all
RN
What's the logic or reasoning behind that
...no need to be shy, or coy, or modest about your performance "...good or bad."(it's all just conversation to pass time)
Last edited:
What's the logic or reasoning behind that
Because it's not my personality. Never has been. I am a very grounded person. The best traders I have been around have all been like this. If one of my buddies who trade (who I have known for a while) ask me, sure I will give them a general idea if things are going good or if it has been tough....but details? Nah. Nobody's business. I'm not trying to sound like a prick. I'm just private about that stuff.
Exactly. Guys who come into trading with guns blazing thinking they are going to make a million their first year flame out. Most of them are reckless. Honestly if they are consistently profitable their first year that's a great start. Forget making the big money right away. Trade small, make mistakes, figure shit out. If they have a solid approach and have gotten the risk management and emotional things down, the money will come.