The thing is these guys could never stop and enjoy it or take some money off the table, they belong in Las Vegas and eventually, they will lose it all! So who gives a crap who wins or loses now to the top. In a few years, they will all be broke.
The race to 10 MM
- Thread starter Pekelo
- Start date
In your opinion, when should they stop? Let's say the money becomes so real like 5 million in, would you walk away from the challenge? At that point who cares about the challenge because 5 million could be a significant amount of money to you.
To go a little further, are you implying that you stop trading at some point when you reach your end point ($ which will going you maximum achievement in your planned life)?
Open for comments from anyone.
My opinion is that greed usually wins and you lose more than you wanted to. Hopefully you stop before losing your riches but it was greed that got you there in the first place. Knowing when to walk away and reassess is subjective wisdom.
With the kind of risk these guys are taking, I would say stop trading at any amount above zero...better still get out when still ahead. It doesn't matter whether its $2M or $5M. These guys are living on the edge.
Whenever they realize the seriousness of what their doing and short-term luck being a factor, name a number and change their method to a more balanced and maintainable style. That of course will never happen. So the question is not at what amount but when if ever they realize that they are degenerate gamblers. Having said this I am not privy to the overall financial situation, for all I know they can be very rich trust fund kids sitting on a 100 million. But still, my statement stands, that play money is temporary. Playing the way they do I actually think that money they lose or make means very little to them.
This is an interesting philosophical question and there is no objective answer. Whoever has made it to 10MM (or whatever big number) he was able to do that because he didn't stop at 1 MM or 3 or 5.
If I had Bitcoin at $100 I sure would have sold it at 1K, so no, I wouldn't have made a gazillion on it. People who do hold BTC, AMZN, TSLA forever are more of an outliers and cultist than rational fundamentalist. Tesla didn't make sense at $420 (old price) and absolutely no sense at $900 (ATH).
But I digress because that is DFV-like investing not trading like these guys are doing. They are jumping on meme stocks in a very ballsy way, but that also means the account value occasionally drops by 25% or more.
Anyhow, when should they stop? When they drop back to the starting account value. Easy come, easy go, but they shouldn't lose more than what they started with.
Update:
https://old.reddit.com/user/SIR_JAC..._keep_asking_to_see_the_red_days_too_so_here/
Sir Jack is at 4.5 MM. Irishdud1 at 1MM. (after a 620K loss)
https://old.reddit.com/user/SIR_JAC..._keep_asking_to_see_the_red_days_too_so_here/
Sir Jack is at 4.5 MM. Irishdud1 at 1MM. (after a 620K loss)
If you are making money and not due to luck then you should never stop. Optimally, you should place the same bet size in terms of percentage from a $1k account and a $10mil account.
But practically, I feel the lesser your account you can deviate from placing optimal size and being riskier if that is not your only source of income.
A 10% return a year in a 10mil account is a cool 1mil. A 10% return in a $1k account is a pathetic $100. Therefore with a $1k account you can YOLO more with it to try to get a decent sized account.
The more you have, psychologically it plays in your mind so it will be advantageous to reduce your bet size even if all has been working previously..There is no set amount when that happens, it is base on each individual. $100k might mean everything to someone but is peanut change to another.
Another reason is the edge is never truly defined in the markets unlike in a casino game. Therefore, you can't know with 100% certainty the exact payoff of your trade, so it is always good practice to bet lesser once you reach an amount that (based on each individual) is life changing money.
Wait a minute. I think there have been discussions about this before.
A 10% gain in an account over a year is an impressive feat. The account size does not matter. If that 1000 bux was sitting in a saving account, you'd earn what, .00001% interest?
If the 1 million was sitting in same savings account, it would earn the same .00001% interest.
Who cares the monetary value of the gain. You gained $10 on the initial investment, or $100 or $100,000? Well, certainly people have done worse with both 1K and 1mil accounts in a year.
Those guys appear to be, rather, all over the place...just essentially gambling in a public, glorious, fashion. They have no true experience, expertise, depth, tactics, and focus, precision.
10 million destination, starting from 10K,....that's basically doubling your account ten times in ten trades. Or average, similar, variations around that.
In a fantasy game scenario....trading just only, exclusively, S&P options...I would be a serious contender to win. Not to sound big-headed or anything, but just saying.
All those WSB guys are gamblers...it's important to have water focus and clarity and calmness and solitude. Not neon lights, flash and hype and vanity and ego.