Making $5K with $20K each month

Yes, from trading penny stocks, first it was SSPC (from 0.01 to 0.60), then USXP from $0.01 to $0.30, right before I quit my full time job, another stock went from 0.20 to 0.50 with strong volume, I had about over half million shares. Since the moderator won't allow me to mention penny stocks, I will restrain myself from mentioning penny stocks :-)
 
PennyTrader,

For your information:
.........................................................

....."If your account balance falls below $2,500, Zecco Trading does NOT restrict or close your account."

...."What is the minimum amount required to open an account?

A minimum deposit of $2,500 is required to open an account. Once your account is opened, you can use those funds to purchase securities leverage for margin purposes or use as you see fit. It is and always will be your money. If your account balance falls below $2,500, Zecco Trading does not restrict or close your account."

http://www.zecco.com/reference/faq.aspx
.......................................................

Their commissions are also very reasonable. Check them out.

I hope this helps.

Your account statements are very impressive.

Your only limitation right now is a lack of an adequate bankroll.

Tom
 
Thanks. in some cases, each broker/clearing firm is treating differently, my account had $24986 right after I took out $5K, it was my mistake, I miscalculated the balance, plus I forgot to close a penny stock I own at the ask. I got this email:

*********************************************************************

Your account has an Equity Maintenance Margin Call. The call is for account number 240117. The amount due is $16.00.

*************************************************

Then the next day, even though my account is back to $26K, I received this email from my broker, I've no idea how this call is generated. Anyway, I wanted to leave the broker and forget about this pattern daytrading thing, I have one less worry in trading, the new broker gave me the lowest commission for the traders :-)


***********************************************************************
You currently have a Daytrading Margin Call. Your margin call is for
$4,564.00. You need to cover this call as soon as possible. Your call was
generated on 4/13/07. The call must be covered by 4/17/07.

According to Penson's procedures, you will not be allowed to trade this
account until you meet your day trading call. The day after you generate
the call you will be issued 0.00 Buying Power. If you do trade, you will
create a very large day trading margin call. You should always check your
intraday and overnight buying power at the Penson website,
(https://online.penson.com), prior to trading each day. This is essential.


*******************************************


Quote from TOM134:

PennyTrader,

For your information:
.........................................................

....."If your account balance falls below $2,500, Zecco Trading does NOT restrict or close your account."

...."What is the minimum amount required to open an account?

A minimum deposit of $2,500 is required to open an account. Once your account is opened, you can use those funds to purchase securities leverage for margin purposes or use as you see fit. It is and always will be your money. If your account balance falls below $2,500, Zecco Trading does not restrict or close your account."

http://www.zecco.com/reference/faq.aspx
.......................................................

Their commissions are also very reasonable. Check them out.

I hope this helps.

Your account statements are very impressive.

Your only limitation right now is a lack of an adequate bankroll.

Tom
More...
 
Allmighty1,

In fact, volume change is one of the most important indicators I use for trading these momo stocks. If the volume suddenly died on a strong momo stock, retraction is going to happen immediately. On the other hand, when the selling volume dies in a strong pull back, the stock is going to bounce. In my chart, I have the volume change shows on the candlestick.

Daily --> Hourly --> 15 minutes -->

For a safe trade, I look for a yellow candlestick first, then expect a trend reversal, look for buy or sell signals after the yellow candlestick. Although in my charts , the indicator generates many buy/sell signals, but the ones right followed the yellow candlestick were the most reliable trades.

Here is an example of one of my charts on DNDN, can I attache mutiple files?



Quote from Allmighty1:

It is interesting to read these comments.

I
Everyday effects that a sharp trader could take advantage are;

1. Volume changes due to time of day
2. Volume changes due to effects of hedging
3. Volume changes due to changes in options open interest
4. Changes in Index values (like the Goldman Rollover for instance).


bye
More...
 

Attachments

Thanks. I will try my best to make it on my own :-)

I might talk to my two friends and took out some profits from their accounts if I cannot fullfill my obligations. Maybe I should trade one of my friend's $50K account more.




Quote from trend_guy:

I wish you the best of luck.

I just have a few questions...

What do you do when you have a 2-3K losing month? How do you pay expenses? Will you be able to make 8K from 17K to get back to square?
More...
 
pairsarb,

You know what, sometimes I wish I didn't quit my job :-) When I had a regular job, I was trading emotion free and not worried to take out $$ out of the account to pay bills, I was an IT security guy, the only guy in the company has mutiple montiors on my desk.

Right now, this trading is the job, I do enjoy the freedom to trade from home and take care of the boys to school. But I also have more responbility. I've to take the $ out of the table immediately when I see it, with limited capital, I've to keep the account as liquid as possible, I cannot hold any bags or make long swing trades, means I could miss some big gainers, but I keep small gains. I treat the stocks I bought as perishable goods, have to get ride of it before getting bad :-) In the future, when I've enough capital, I'll divide some to short-term/swing trades.





Quote from pairsarb:

My solution has been this. Ill just tell it. I worked another job and developed contingency funds amongst a whole host of other savings accounts at my bank.

I scale down my living expenses to 33% of earning from other job. I live in CA so it was possible to trade US stocks and do this timewiese. So other 66% split amongst 6 other accounts.

Over two years of doing this, those accounts grow. Yes I live like a poor man's poor man, no new car, no new house etc.

But I have a clear disticntion between my trading accounts and my living accounts. I didn't like the pressure to make my living all the time from trading, although I did it for a while.

I am just now tapering off my business contracts. So now I have the next 7 months to focus more on trading solely.

My biggest thing I need to learn is not to overtrade. How do I know when I am doing it or not. So anyway, the profits from trading go right into the checking account and then get split up just like money from other things does.

I believe the key is personal money management. That's for me. Some traders need to make 12K per month just to pay expenses...

I am building my net worth and using trading and other vehicles to funnel into that worth. I am more set up now to focus on the skills i need to learn for trading..

This is the type of plan that I can follow, and after April I will be able to trade solely for the rest of the year getting better. To me this represents a significant change in the environment surrounding my trading, and its very cool.
More...
 
Quote from Allmighty1:

It is interesting to read these comments.

I am sure you are all very sincere

In response to the original poster, I would say it is very unlikely that he will succeed. In order to win consistently in the markets not only do you need a decent edge, but a way to adapt to periodic changes in the market environment. Even if we assume the poster knows how to execute and read markets, It doesn't seem to me that he has the expertise. As I have said before, those who can put the pieces together are in minority.

I guess you could just ignore me, but I will advise you that

A.) I am a professional, albeit retired, who actually knows how it done (I should say, I know a couple of ways to make that kind of money).
B.) Based on the way you folks express yourselves, I am as sure as I can be that YOU don't

OK, so thats the "bad news" Now for the "not so bad" news.

There are more ways than ever to make money in the markets.

The most effective ways of making money today (in my opinion) are by analyzing the effects of human participants.

What that means is you look at what humans do (without thinking) when they participate in the markets.

Examples include

Earnings announcements, Fed Announcements, Economic Reports like CPI, PPI, Employment, Product annoucements, FDA announcements,

Everyday effects that a sharp trader could take advantage are;

1. Volume changes due to time of day
2. Volume changes due to effects of hedging
3. Volume changes due to changes in options open interest
4. Changes in Index values (like the Goldman Rollover for instance).

OKay so I have pointed you folks in the right direction (generally) and having done so, I am guessing that you guys still cannot make heads nor tails of what I am talking about (and thats too bad).

So I will close with this last comment and then I won't be back to reply cause thats pretty much my good deed for the day

In professional offices around the country and around the world there are sharp folks "brainstorming" approaches to these elements every day. The best and brightest of them find a weak spot and approach it until it is arbed away or some fundamental changes takes it away. If YOU think you can compete, well God Bless you and have at it....Time will certainly tell if you are right.

bye
More...

Troll Alert!

JJ
 
PennyTrader,

Your stock chart indicators prove you know when to take action. Excellent trading analysis!

Your charts also look impressive. What Chart provider do you use?

Tom
 
where are all the nay sayers now?

traders that want to be good traders need to have an open mind
to learn something new.
I`m not saying that you have to accept everything, but at least give people a chance.

I`m trading penny stocks myself and my record is not as good as
PennyTrader`s.
I probably could match him if I were prepared to sit behind the computer all day but I`m not.
I became consistently profitable last September with a starting capital of $ 200,000 and making $ 4,500 on average per week.

So it sure can be done.

Look at penny stocks.....look at the chart.....plenty of stocks that go from 2 to 4 cent in 5 weeks and go back to 2 cents.
Where would you jump in?
 
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