Which part--the cost part? I only trade 80-100 legs per month so I'd be surprised if I can trade cheaper, all costs considered.
Thinking about a career change looking for some advice.
- Thread starter Traderz
- Start date
Which part--the cost part? I only trade 80-100 legs per month so I'd be surprised if I can trade cheaper, all costs considered.
L
lovethetrade
I probably wouldn't recommend trading to someone that's starting a new career. I know someone that recently made $25 million selling an online affiliate marketing business that required about 5% the ingenuity it takes to become a profitable trader.
That's a funny coincidence or reference...I failed horribly once at affiliate marketing, but trading is much more natural and my forte.
I recommend you stick with the 9-5 job. Dabble with trading 5-10 years. If you reach the point where make $100k over the course of a year by trading, then consider trading as a full-time career.
I concur. Great advice.
If you can do all your 9-5 work in a few hours then always good to have someone else pay for your training. Trade the 240m & 1day, effectively the timeframe is your entry window, 1hr and below will distract too much and you'll make mistakes. Did all the work in 4-8hrs for the week, very effective approach and something like a Surface Pro is a nice discrete portable trading platform.
If you want to have a more relaxed life long term being your own boss then trading is fine, but it will be a Castaway journey short to medium term. Most will take years even decades giving up before the uptick, you can shorten this to months taking an alternative approach or buy in knowledge, the latter is few and far between. Have done both these, it's a cost vs time equation.
The first you are annoyed a little every day by everyone, the second you annoy yourself materially by making mistakes during the learning process if you don't have mentoring or high end tech available. It then comes down to family commitments and your take on life. If you're not sure always taken the simplest least aggressive option, and that would be the job trading on the side.
If you want to have a more relaxed life long term being your own boss then trading is fine, but it will be a Castaway journey short to medium term. Most will take years even decades giving up before the uptick, you can shorten this to months taking an alternative approach or buy in knowledge, the latter is few and far between. Have done both these, it's a cost vs time equation.
The first you are annoyed a little every day by everyone, the second you annoy yourself materially by making mistakes during the learning process if you don't have mentoring or high end tech available. It then comes down to family commitments and your take on life. If you're not sure always taken the simplest least aggressive option, and that would be the job trading on the side.
Well, what's your situation? You don't have to answer these questions here on the public forum, but ask yourself:
1. Are you married? If so, do the bills get paid with your income? If yes to either/both of these, be sure to check with your other half before diving in.
2. Do you have children? If so, again, does your salary feed the kids? If yes to these, then it will put even more of a strain on you and your relationships.
3. How old are you? Can you afford to take a loss; not just a capital loss, but the loss of time... months (years!?) without a paycheck?
There is a HUGE difference between trading for beer money when you're on salary, and trading to pay your bills. It gets serious pretty fast: you need to produce, and make your rent/mortgage every month, without eating into your capital.
For a while, say goodbye to things that you might now take for granted: eating out, a nice car, even buying a round of drinks. For the first year you MUST NOT miss any trading days. No vacations... when the market is open you sit your @$$ in front of your terminal and trade. Every. Single. Day. You have to discipline yourself.
No weed, minimal drinking, etc.--you must have a clear mind. When you're on salary, you can get away with dragging into work with a splitting headache; your performance might not be the best that day, but you still collect your pay. When you're trading, think again! Nothing eats into your profits--and capital--like a hangover! That was a hard lesson learned: after one weekend of a bit too much fun, I missed three obvious trades, and lost about 1%. Looking back, I thought, "Why did I make those buys/sells? They make no sense at all. Why DIDN'T I buy and sell the other stock that had a clear pattern?" Well, I was a little fuzzy that Monday and Tuesday, that's why. Never again.
Oh, and by the way, no sick days either.
1. Are you married? If so, do the bills get paid with your income? If yes to either/both of these, be sure to check with your other half before diving in.
2. Do you have children? If so, again, does your salary feed the kids? If yes to these, then it will put even more of a strain on you and your relationships.
3. How old are you? Can you afford to take a loss; not just a capital loss, but the loss of time... months (years!?) without a paycheck?
There is a HUGE difference between trading for beer money when you're on salary, and trading to pay your bills. It gets serious pretty fast: you need to produce, and make your rent/mortgage every month, without eating into your capital.
For a while, say goodbye to things that you might now take for granted: eating out, a nice car, even buying a round of drinks. For the first year you MUST NOT miss any trading days. No vacations... when the market is open you sit your @$$ in front of your terminal and trade. Every. Single. Day. You have to discipline yourself.
No weed, minimal drinking, etc.--you must have a clear mind. When you're on salary, you can get away with dragging into work with a splitting headache; your performance might not be the best that day, but you still collect your pay. When you're trading, think again! Nothing eats into your profits--and capital--like a hangover! That was a hard lesson learned: after one weekend of a bit too much fun, I missed three obvious trades, and lost about 1%. Looking back, I thought, "Why did I make those buys/sells? They make no sense at all. Why DIDN'T I buy and sell the other stock that had a clear pattern?" Well, I was a little fuzzy that Monday and Tuesday, that's why. Never again.
Oh, and by the way, no sick days either.
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So where is the downside exactly to all this? This one little truism has become painfully obvious to me since joining the rat race, that is trading time for money ie. wage rarely adds up. Feel free to disagree but the in the end most just end up with liabilities. Office politics, nepotism, cronyism, a 350 pound mentally challenged slob for a supervisor, getting laid off? Been there done that not my idea of a good time.
Really good advice so far I appreciate it some pretty decent people on this site. The bias seems to be leaning towards taking the safer route. I can see the logic in that, I may still go that way. I'm 34, no kids, wife doesn't mind if I want to take a couple months and go play trader somewhere shes cool with it.
L
lovethetrade
That's a funny coincidence or reference...I failed horribly once at affiliate marketing, but trading is much more natural and my forte.
You're a rare talent Lawrence, i'm talking about normal, every day people.