Sometimes I wonder why I even day trade...

[ph1l]

The 2600% or 26,000% return should be made by the longterm investor/trader to reach the same profit in $$$, not in % return, of the daytrader who makes 5 points net a day on $5,000 capital. So the fact that these returns are according to you crazy confirms that daytrading makes more money for the majority of people.

It sounds like the logic here is:
If 2,600% or 26,000% return is crazy,
then day trading makes more money for the majority of people.

Ask someone with some brains if he can explain it to you in very simple and basic language

That guy didn't have a good answer, so I tried
https://www.investopedia.com/articles/active-trading/053115/average-rate-return-day-traders.asp

What Is the Success Rate Among Day Traders?
The success rate (i.e., making money) from day trading is quite low, actually. Depending on the source, only around 5%-20% of day traders consistently make money -- which means that more than 90% fail and lose money by day trading.[4][5][6]

It seems most day traders lose money, so maybe day trading doesn't make more money than long-term investing for the majority of people.

 

[deaddog]

I

It seems most day traders lose money, so maybe day trading doesn't make more money than long-term investing for the majority of people.

YA BUT!!
This is a forum for Elite Traders and wouldn't you expect the elite to be in the top 10%?

 

[p0box4]

YA BUT!!
This is a forum for Elite Traders and wouldn't you expect the elite to be in the top 10%?

According to some fools 2600% return is peanuts, so make it 0.1% instead of 10%, at least until they wake up tomorrow.

 

[virtusa]

It sounds like the logic here is:
If 2,600% or 26,000% return is crazy,
then day trading makes more money for the majority of people.

EXACTLY!

Because longterm traders/investor can never make such a returns.
If they don't reach that return they make less money than daytraders. That's simple and clear logic.

There are many ways to make money in trading/investing. The past 25 years I continuously compared the different ways to see what was optimal for me to do, taking in account all my limitations (available capital, available time, how qualified am I...). So I made lots of analysis in Excel to see the performance and requirements of each way over a long period. After that I made my choice.

Most people have only limited capital so longterm trading/investing and becoming a billionaire is for almost 100% excluded because the returns are not high enough to compensate the lack of capital. Besides that they will have to wait decades before they reach the billionaire status, if they ever reach it. That is delusional for almost all people.

Even if the longterm trading/investor would make the returns that Medallion made between 2000 and 2018 he will still be beaten by the daytrader because the account of the daytrader will grow much faster and the longterm trading/investor cannot compensate that by taking bigger size as he has capital limitations. And I am sure that nobody will make the returns of Medallion as a longterm trading/investor.
In the end the daytrader will become longterm trading/investor too as he will have to invest his excess of capital, that is not needed as margin, in something else. That creates again additional profits.
It will take decades and hundreds of millions before the longterm trading/investor can catch up with the daytrader.

 

[virtusa]

YA BUT!!
This is a forum for Elite Traders and wouldn't you expect the elite to be in the top 10%?

My estimation is that the majority even does not reach the top 50%.
There are a few very good ones and a lot of mediocre or average ones. Just like in any discipline. Calling this website "elite" will not change anything.

 

[virtusa]

It seems most day traders lose money, so maybe day trading doesn't make more money than long-term investing for the majority of people.

That's why I said "a good daytrader". That's the conditio sine qua non.

In any sport or business only a very small part of those who try, become successful. Not only in trading/investing.

 

[FTDK]

1. The OP never said anything about starting with a $5000 account.

2. It is literally impossible to make 26000 percent return on a large (multi million) account.

So, if the basic question without any conditions, or starting capital is: who can earn more $, long term will always win.

 

[p0box4]

It looks like the 13 million profit with a $5000 account guy has blocked me.

I guess that is the way to go these days, if you can't win an argument fair and square, just block the other poster, make sure to post another comment he/she can't read or comment on and you will come out on top.

At least that is how it works in their tiny mind.

 

[virtusa]

1. The OP never said anything about starting with a $5000 account.

2. It is literally impossible to make 26000 percent return on a large (multi million) account.

So, if the basic question without any conditions, or starting capital is: who can earn more $, long term will always win.

You cannot trade without capital. Capital is essential. Do you trade an account without money on it? To make money you need money.

You are probably all papertrading. The OP clearly said that his account was $500. Good luck with longterm investing/trading that "amount".So there is clearly a starting capital. Join your friend in a course: how to read correctly.

You still don't understand that the 26000 percent is about your trading as longterm trader, not my daytrading. Some people clearly understand that but the papertraders don't.

It sounds like the logic here is:
If 2,600% or 26,000% return is crazy,
then day trading makes more money for the majority of people.

How can you proof that you are right if you have no starting capital? Without starting capital you cannot proof anything. I am not sure you understand that.

 

[FTDK]

You cannot trade without capital. Capital is essential. Do you trade an account without money on it? To make money you need money. You are probably all papertrading. The OP clearly said that his account was $500. Good luck with longterm investing/trading that "amount".So there is clearly a starting capital. Join your friend in a course: how to read correctly.

You still don't understand that the 26000 percent is about your trading as longterm trader, not my daytrading. Some people clearly understand that but the papertraders don't.

I think you need to read the post that triggered this discussion again, nothing was said about any account size, the question was, why would one daytrade if one is profitable long term trading. You replied with because daytraders make 10-100 more.

That statement as you wrote it, simply isn't true. It isn't until later on that you started adding things like $5000 balance and stuff. You all of a sudden added that that once someone pointed out that your statement isn't correct ...

Again, if the basic question, without any conditions or starting balance but just in general is: who can make more $, long term it is.

If not, i could turn things around: if you have a 10 billion account long term trading or investing will always win, since you wouldn't run into liquidity issues. Why do you think hedge funds or large firms don't have the returns you are talking about? Not because they suck, but because it isn't achievable at that level.

Sure, that isn't realistic for anyone here, but that was never part of the question ...

Funny how you mention that other posters are dreaming or need to learn reading, while you make up things because you clearly didn't read the original question right, or maybe because you are losing the argument. And funny how you say others or dreaming while you mention a $5000 starting capital and profits up to $13 million in the same post ...