Reasonable expectations for Trading

[SimpleMeLike]

Trade the big O....Orgasmic Oprah Options.
As easy as 1 2 3.

With plain vanilla stock...you need a Huge-ass account to generate any reasonable money.
With futures, somewhat less.
With options, even less.

Good luck, and Mazal tov, and May the Farce be With You,
But more importantly, it's 2018...Make Trading and your Life Great Again...High-Five`

I've been couped up in my room and house for too long.
I need to go out and get some Starbucks and Sweet and Sour Beef.
I don't like online dating. I'm rather old-fashioned, I want to meet a woman randomly in person like some kind of romantic comedy.
I love the movie Green Card.

lol hahahhahahahahah man o man. I will stick to the futures

 

[punisher]

Its easy to work out if you know your win rate, your r:r and the frequency of your trades.
e.g.
win rate = 60%
r: = 1:1.5
frequency = 1 trade/day (assume 240 trades/yr)

Wins = 144
Losses = 96
Gross gained = +216
Gross lost = -96
Net gained = +120
Net % return = +50% (without compounding)

I think we'd all agree these win rates, r:r and trade frequency are achievable. What is not achievable long-term is a 50% return on an investment.

While your calculations are solid, the problem here is that you are comparing apples to oranges.

Investing nor even multi day swing trading can NOT be compared to day-trading. In day trading your are investing the most precious asset which is time. You can't be doing anything else when you are day trading. Failing to realize that leads to those comparisons that make no sense. For a daytrader, his capital is only a tool that he uses to make daily gains. It is not an investment per se.

Separate issue is when people are comparing returns of big funds, CTAs etc and telling what day-traders can or can't achieve. What a small guy can do (with leverage) is often not possible for big fat guys.

 

[tomorton]

While your calculations are solid, the problem here is that you are comparing apples to oranges.

Investing nor even multi day swing trading can NOT be compared to day-trading. In day trading your are investing the most precious asset which is time. You can't be doing anything else when you are day trading. Failing to realize that leads to those comparisons that make no sense. For a daytrader, his capital is only a tool that he uses to make daily gains. It is not an investment per se.

Separate issue is when people are comparing returns of big funds, CTAs etc and telling what day-traders can or can't achieve. What a small guy can do (with leverage) is often not possible for big fat guys.

Sorry, I don't get it.

 

[Evermore2017]

Day trading is not investing, is short time gambling like poker.

 

[schweiz]

Day trading is not investing, is short time gambling like poker.

For you it is. But therefore it is not valid for every trader.

The logic "I cannot so nobody can" is false.
And comparing with poker is complete nonsense.
That's my personal +20 years experience as daytrader.

 

[tomorton]

Day trading is not investing, is short time gambling like poker.

Sure its technically gambling, because money is invested with the object of profit in an enterprise with an uncertain outcome. But do you consider all forms of gambling the same? - say, poker as opposed to the lottery?

 

[schweiz]

Sure its technically gambling,

In life everything is technically gambling as you need 100% certainty to escape gambling. So death is the only things that is sure and no gamble. All the rest is.

 

[punisher]

Sorry, I don't get it.

let me know which part of what I said you don't get or you disagree with and I will be happy to elaborate

 

[Evermore2017]

For you it is. But therefore it is not valid for every trader.

The logic "I cannot so nobody can" is false.
And comparing with poker is complete nonsense.
That's my personal +20 years experience as daytrader.

I don't say that, I am a profitable daytrader too, is gambling with a EV+ based in skills and experience (like poker, I was low stakes player before trading), but not investing.

 

[tomorton]

let me know which part of what I said you don't get or you disagree with and I will be happy to elaborate

I'm just calculating capital from a number of trades, against capital from investing. The time it takes to determine, run and exit each trade is excluded but of course this differs between day-trading and long-term trading.

Still, whether its 1 trade/day as I suggested or 10 trades per day, the potential return over a year is greater than that from investing in something like the S&P.

so what is your point?