Is the retail daytrader an endangered species?

[lindq]

Quote from Darshan:

What is ER? ES is the e-mini S&P right?

Any recommendation on a brokerage firm? Ideally one allows you to paper trade and one with access to a solid front-end platform?

Thanks for all the help guys

ER2 is more volatile than ES. Faster moves. Both ways.

IB (Interactive Brokers) would be a good broker for you. Easy to access your stocks, as well as all futures contracts.

A good starting point for a futures newbie is to go to:
www.collective2.com

Pull up a few futures traders (profitable). Look at the timeframes, numbers of contracts, profit targets, etc. It will give you a decent overall view of the market. The point is not to emulate what they are doing, but just to get a sense of how things flow and at what sizes, before you jump in.

 

[Darshan]

I currently trade stock through lightspeed, has anyone every traded futures through this platform?

Do you recommend it?

 

[theoddlot.net]

Hang in there. I am a retail equities trader. I too have experienced a little of what you are describing. Equities are not for everyone, and regulators will never take the side of individual retail traders. We provide no value to the industry. So, you need to look at it like that. I approach it as going into a market of whales as a small fish. Remember your advantages as a small fish. You are more mobile, you can stop on a dime switch directions. You are liquid. It sounds like you are not looking at day trading equities as reality but more as an idea that you have. The reality of it is, you are looking at the potential money you can make and not the reality of what you are able to make regarding your skill set. You wanna be a big fish? keep eating and growing.

 

[The Swordsman]

Not true at all, daytraders (despite what people may think) provide liquidity. This is important for a normal functioning market.

Quote from theoddlot.net:

Hang in there. I am a retail equities trader. I too have experienced a little of what you are describing. Equities are not for everyone, and regulators will never take the side of individual retail traders. We provide no value to the industry.

 

[Darshan]

Thanks man, but I'm starting to have doubts... I've been at it for so long and I'm beginning to wonder whether or if ever it's going to happen.

Quote from theoddlot.net:

Hang in there. I am a retail equities trader. I too have experienced a little of what you are describing. Equities are not for everyone, and regulators will never take the side of individual retail traders. We provide no value to the industry. So, you need to look at it like that. I approach it as going into a market of whales as a small fish. Remember your advantages as a small fish. You are more mobile, you can stop on a dime switch directions. You are liquid. It sounds like you are not looking at day trading equities as reality but more as an idea that you have. The reality of it is, you are looking at the potential money you can make and not the reality of what you are able to make regarding your skill set. You wanna be a big fish? keep eating and growing.

 

[lindq]

Quote from theoddlot.net:

Hang in there. I am a retail equities trader.

I traded equities for 5 years. Paid my way, did fine.

But a year ago I moved to index futures. And I've found that much more rewarding, more profitable, and a lot more enjoyable.

Different strokes. But if someone is stuggling with equities and still has a decent skill set and the time to make a transition, they should look at indexes before throwing in the towel, IMHO.

 

[watchdaride]

Quote from Darshan:

Thanks man, but I'm starting to have doubts... I've been at it for so long and I'm beginning to wonder whether or if ever it's going to happen.

not sure how long you have been trading but it takes about 5 years full time to get consistant profits. The hardest thing is overtrading you dont need to be in the market everyday. If it in consilodation just wait till a trend starts again .

 

[Darshan]

What trading style do you implement? Ar you strictly a technical trader? What tools do you use to base your trades?

My only reservation is that I've been trained and have only traded the box my entire career.

Quote from lindq:

I traded equities for 5 years. Paid my way, did fine.

But a year ago I moved to index futures. And I've found that much more rewarding, more profitable, and a lot more enjoyable.

Different strokes. But if someone is stuggling with equities and still has a decent skill set and the time to make a transition, they should look at indexes before throwing in the towel, IMHO.

 

[dubes]

I like to think that the retail equity traders will outmaneuver the big guys in the coming years. As theoddlot.net mentioned, we're smaller and can outmaneuver larger traders. Also, our costs have gotten low enough that the larger firms increasingly have less of an advantage. Except for the strategies that require very fast direct access to the market, I don't see the advantage held by institutional traders.

 

[lindq]

Quote from Darshan:

What trading style do you implement? Ar you strictly a technical trader? What tools do you use to base your trades?

My only reservation is that I've been trained and have only traded the box my entire career.

I have very specific entry points based on price levels and time, and every entry is accompanied by a hard target and stop. I developed the systems through backtesting, trial and error. My average time-in-market is about 20 minutes.

Others will tell you that they fly by feel, trading price action.

Based on your background, you may want to get a good backtesting system before proceeding. If you are under the gun to turn immediate profits, you may have problems. Like anything, this takes time. There is no magic bullet. Profits are made the old fashioned way. Grind it out, and maintain solid discipline every minute.