Is active trading a viable job for an individual?

[BYoung]

This is DEFINATLEY not me, nor should it be you. Don't try to jump into this bit and expect to be making X amount of dollars per year out of the gate. Rather, see what you can do for the first couple of years and work it up from there.

Surely you can understand wanting to get some indication of what one could potentially bring in as income if giving up another job. After all I'm not referring to a hobby here - I was asking about the prospect of making this a full time profession.

In trading, controlling your emotions is a lot more important than proving your level of intellect with an organization like MENSA. In fact, it is completely irrelevant.

I think you misread my post. I never said I was in MENSA or even tried to be. In fact the point was the opposite - that I'm not a genius.

 

[murray t turtle]

Exactly!/Speedo

........ also about people who wiped out their account, sometimes even more then once...

But if people are reading selectively they will never see these postings.

%%
And its not the speed/speedo that is the problem or even wiped out their account, B young; as long as you don't wipe out account when beyond young ,be alright, most likely.LOL. And its like JSOP hinted , could you lose 150K/200,000?? Actually I would/could have lost more than 195,000, but realized some one had to get some dividends it might as well be me.
Its simply much more complex than it seems. IBD had GE listed as a top income dividend stock; surely buyers would buy @ 50%, NO not much @all. Good thing I seldom do counter trend......

 

[OddTrader]

Everyone wants to be a trader -- it's the new American Idol.

If you think you can manage to climb to the top of the masses...try to predict and manage and trade the broad market SPX/SPY/DOW/ES chart on a Daily basis. If you can do this...the Keys to the world are virtually yours,

Perhaps nowadays an obvious alternative better than trading: https://en.wikipedia.org/wiki/Ant_Financial

Ant Financial said to be in talks to raise US$10b in Temasek-led IPO

Deal could give Ant a US$150b valuation, making it the world’s largest start-up

PUBLISHED : Wednesday, 11 April, 2018,

http://www.scmp.com/business/compan...ial-said-be-talks-raise-us10b-temasek-led-ipo

https://en.wikipedia.org/wiki/Fintech

Global investment in financial technology increased more than 2,200% from $930 million in 2008 to more than $22 billion in 2015.[6] The nascent financial technology industry in London has seen rapid growth over the last few years, according to the office of the Mayor of London. Forty percent of the City of London's workforce is employed in financial and technology services.[7]

In Europe, $1.5 billion was invested in financial technology companies in 2014, with London-based companies receiving $539 million, Amsterdam-based companies $306 million, and Stockholm-based companies receiving $266 million in investment. After London, Stockholm is the second highest funded city in Europe in the past 10 years. Europe's FinTech deals reached a five-quarter high, rising from 37 in Q4 2015 to 47 in Q1 2016.[8][9] Lithuania is starting to become a northern European hub for financial technology companies since the exit of Britain from the European Union. As per the stats, Lithuania has issued 51 fintech licenses since 2016 which includes 32 from the last year. [10]

In the Asia Pacific region, the growth will see a new financial technology hub to be opened in Sydney, in April 2015.[11] According to KPMG, Sydney’s financial services sector in 2017 creates 9 per cent of national GDP and is bigger than the financial services sector in either Hong Kong or Singapore.[12] A financial technology innovation lab was launched in Hong Kong in 2015.[13] In 2015, the Monetary Authority of Singapore launched an initiative named Fintech and Information Group to draw in start-ups from around the world. It pledged to spend $225 million in the fintech sector over the next five years.[14]

 

[bone]

This will take more than time and skill. You won't know until you get started. Why not keep your job and start slowly and scale from there? Then as your make money you can move to full time trading.

Mr. Morse is giving you most excellent advice.

 

[bone]

It's viable for any who are willing and able to put in the extensive time, effort and personal development required of any demanding profession. Most enter the arena lacking either this understanding or diligent commitment.

This is also a most lucid and honest assessment.

 

[murray t turtle]

Surely you can understand wanting to get some indication of what one could potentially bring in as income if giving up another job. After all I'm not referring to a hobby here - I was asking about the prospect of making this a full time profession.

I think you misread my post. I never said I was in MENSA or even tried to be. In fact the point was the opposite - that I'm not a genius.

%%
Good, full time is best, but only after you have been profitable for years ;
don't quit , unless you are related to Bill Gates or M Zukerberg- they quit college.Its really good you are not a genius; as they say in Chicago, go slow like turtle + smarter you are the longer it takes. LOL-true. I don't put up with an ant in my home , but I thro food outside for ants=cool

 

[bone]

I read that Ohio State did a very comprehensive study of the hospitality business which they completed just a year or two ago as I recall. They found that 60% of restaurants fail in the first year and 80% of restaurants fail within 5 years of opening.

Point being, about any legal and ethical way of making good money is going to be very competitive and challenging. There's a high failure rate in doing something as seemingly innocuous as opening a bar or restaurant.

Trading in particular attracts bright and intelligent talent. The really good traders are also driven and focused and relentless.

 

[jinxu]

Point being, about any legal and ethical way of making good money is going to be very competitive and challenging. There's a high failure rate in doing something as seemingly innocuous as opening a bar or restaurant.

Trading in particular attracts bright and intelligent talent. The really good traders are also driven and focused and relentless.

Beware of this statement. A lot of newbies may think they are super smart or talented but in reality are unaware of what their competitions are like.

 

[lawrence-lugar]

A lot of newbies may think they are super smart or talented but in reality are unaware of what their competitions are like.

An individual, retail trader has no competition...the market is absolutely vast. Just a single drop from it is more than enough to make him rich. I don't think he has to worry about moving and splashing and shaking up the market with his Huge...account.

The only true competition for a trader...is from Themselves...their trading tactical plan, and execution and mindset and wisdom and foresight and calmness and open-mindedness and psychology and etc misc...and just how bitchy Miss Market can be to them,

The other part of your statement is indeed correct, though. Many new traders think they've got this game all set, and mastered...because of their edge, or skill. -- But their account melts away like butter, or disintegrates it always seems inevitably.
2018 ET, `

If you're going to do something, don't just do it for the sake of doing it...aim to be at the Top 1%.
Perform and achieve at a high caliber, better then everyone else's output. Study and plan and strategize how you will accomplish that,
If you will just dick around with sparklers and firecrackers, then don't throw a party/or go to war...you should be instead formulating an Atom bomb, and studying poetry and art and love to equalize that equilibrium,

ET, and all trading forums, is like WW2...I'm always wondering...who is that bomber plane...that dropped the Nuclear bomb on Japan, and in a split second...ended the war. -- Who is the Real deal talent, vs everyone else scattered and spread out sporadically randomly,
You don't want to be a random soldier. Clawing and fighting away at a relatively dangerous and fruitfulless effort.

 

[JSOP]

I appreciate all the thoughtful replies. It's honestly kind of what I expected which is why I asked the question. I found myself doing a lot of studying and wondering, "is this really going anywhere?" I think I would love it if there's a reasonable chance for success but busting my a$$ to learn a complex profession only to find out it's hopeless because the game is rigged is something I'd prefer to avoid.

First of all, the game is NOT rigged provided you trade in regulated financial markets like stocks, futures and etc. Even in retail forex trading where there is a lot of cries of foul, if you stick with brokers that pursue a more fair, transparent and honest business model, you can still make money. So right off the bat, do NOT listen to those people who cry the game is rigged; these are the people who are not trading well and instead of focusing on finding out problems with their own trading, choose to blame others for their own problems. These kind of people exist in every single profession but are especially prevalent in the trading profession.

I noticed too there seems to be two parallel industries related to trading:

1) The actual industry that makes money on trading/investing.
2) The Trading Sales industry that makes money on convincing people they can make money trading (this includes educational sites, "backtesting" sites, scanners, etc.)

Just as you suspected, 2) is to be avoided and 1) is to be pursued with caution. Within 2) though, backtesting software is still a valuable tool that you can use in developing your trading strategy/system which would be your bread & butter in making it as a trader. You don't have to necessarily pay for backtesting sites or software; there are plenty of good ones but absolutely make sure you backtest. It won't backtest EVERYTHING but it would give you a pretty good idea of how profitable your trading system would be.

Bottom line: You CAN make money. How much money you can make is going to depend on your skill, mental fitness, trading capital and experience. Just like many of the posters said, DON'T start off with a goal of have to make certain $$ of profit, instead focus on learning about trading and developing trading strategy and take it one day at a time, one trade at a time.