Took out a loan to transition to full-time trading. 24 years old.

Humpy said:
If I am good, I can quit my job and trade full-time as I've always wanted; or if I suck or am performing just okay, then I'm going to forget about trading for a living and focus on my career to get promotions, raises, etc. I just can't get my head out of trading and watching charts and it's been affecting my career and my personal lifestyle. Everyone who knows me knows I'm addicted to trading so this would be my wake-up call.
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That is what he wrote early on. Against seasoned advice he carried on.
Sadly to say but expectedly it has ended badly. A lesson to other hopefuls with heads full of daydreams.
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People who think they can trade full time on a small account by definition are bad traders. They cant work through the most obvious risk reward scenario of their life.
 
If I am good, I can quit my job and trade full-time as I've always wanted; or if I suck or am performing just okay, then I'm going to forget about trading for a living and focus on my career to get promotions, raises, etc. I just can't get my head out of trading and watching charts and it's been affecting my career and my personal lifestyle. Everyone who knows me knows I'm addicted to trading so this would be my wake-up call.
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That is a quote from the OP wabu
 
wabu27 said:
Day fin.
- 4x%
so let down dont even want to calculate or update the title of my youtube videos. wifi-trouble all morning, and completely wrong chart analysis. I hate to admit but everyone that's been criticizing me was right... im going to take a break and also do some virtual trading to get my game back. currently i'm horrible at cutting losses and i trade way too big..
Well, it was fun while it lasted. Until we meet again! Adios.
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you gambled and you lost. Anyone can gamble.
 
newwurldmn said:
Seriously speaking. If you are truly a good trader, you should realize that this whole setup is a very bad trade.
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Maybe, or maybe not.

Clearly odds are against him, and I'd never do what he's doing but..... maybe he's better than me. Only time will tell.
 
DeltaRisk said:
Maybe, or maybe not.

Clearly odds are against him, and I'd never do what he's doing but..... maybe he's better than me. Only time will tell.
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If the odds are against him and the successful payoff only slightly better than a successful and fulfilling career, isn't that a bad trade?
 
newwurldmn said:
If the odds are against him and the successful payoff only slightly better than a successful and fulfilling career, isn't that a bad trade?
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For almost everyone, yes it is.
But, sometimes a guy does come out of no where. It's not our lives, I'd advise against it but as always, it's his choice.
 
Better to have a dedicated "escrow" or other account.
Take loan, pay any fees up front, calculate payments for one year.
Put this amount into your escrow account to make payments out of.
If you are down at the end of the year close it out for a loss.
Figure out your theoretical maximum drawdown ahead of time if possible, this will help you hedge against your losses (including risk of ruin), and scale out your risk.
Loan fees + payments for one year + hedging positions needed + maximum theoretical drawdown= initial capital needed to enter loan arbitrage opportunity
View money as a commodity, with it's own cost of carry.
Don't allow yourself any emotional factors either, view as pure logic.
 
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