Risking 10k to make 1.25 mil. Anybody trades like that?

Quote from tyrant:

The recent rally offers at least 50 pts on the ES. It is not that far fetched to risk 10 pts to make 50 pts. If one starts with an initial stake of 10k and wait for 3 of this type of trades, then one can have 1.25 mil at the end of 3 trades. Anybody trades like that? It was just a random weekend thought. Hope to hear some views on whether it might be better to go for home runs like these instead of a long and tedious trading career.
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You could apply the same logic to options, but options might be better than futures because there is no margin call to worry about. 5x returns on some GOOG, RIMM, BIDU, AAPL options probably happen at least once a month.

Start = $10,000
Trade 1 = $50,000
Trade 2 = $250,000
Trade 3 = $1,250,000
 
Quote from forex-forex:

You could apply the same logic to options, but options might be better than futures because there is no margin call to worry about. 5x returns on some GOOG, RIMM, BIDU, AAPL options probably happen at least once a month.

Start = $10,000
Trade 1 = $50,000
Trade 2 = $250,000
Trade 3 = $1,250,000
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Good luck buying 50 thousand or more worth of options on a stock without destroying the price...

Options are a marvelous instrument but they have a fatal flaw: your position size cannot be significant.
 
Quote from IShopAtPublix:

Good luck buying 50 thousand or more worth of options on a stock without destroying the price...

Options are a marvelous instrument but they have a fatal flaw: your position size cannot be significant.
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500 contracts at $5.00 = $250,000. 500 volume isn't very much.
 
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