Video of a trader blow up Today, NSFW lol
- Thread starter jtnet
- Start date
Why? Are you trans-gendered or something? trying to lift more weight?
serious question (sort of).
Not one to take a laugh at someone's misery since we all have had bad trades but it is hard to get sympathetic based on a few points:
1. I am not market genius by a long stretch but we have had bad news after bad news for months and the fault lies in those who look blind to the news and simply expect a market to go up. The question to ask is why did he load up long over a long weekend when we just had bond insurers in trouble and still more bad economic news? We cannot ignore the facts and hope for things.
2. Ok the account was down $25k but instead of thinking of closing it out he was moaning about losing his life's savings and getting @#$%ed by the market. He must have been long 10 YM contracts given the move and the loss as per my estimates but even a 200 point stop loss would have been -$10k. Reminds us how we need to not be ignorant of the risks or max loss and set stops based on our accounts. How can someone stare at that risk and take the position so irresponsibly?
3. If $25k was his life's savings then he obviously was trading too big to lose it in one trade.
The only sad part is that he will never learns these lessons at all and simply chalk it up to the market out to screw him or that no one can make money or any other failure that has nothing to do with his gross negligence.
I made similar mistakes to his when I was starting out and learned my lesson the hard way without taking out all I own thank God. I wish we all could learn these lessons simply from those us who went through it stating that it will happen.
This guy had to lose the $24k since his style of trading was going that route anyway. It migt take some time for him to realize it.
I wish I could recommend all new traders watch that video before starting to trade and think about the lessons ahead of time.
Anyway, I feel sorry for him not for the loss of money but for the fact he will have learnt nothing from the tuition and that truly is a waste.
EDIT: Sorry just noticed it was 10 long er2 contracts with ER2 down 30 points, did not notice it before. Apologies for YM reference.
1. I am not market genius by a long stretch but we have had bad news after bad news for months and the fault lies in those who look blind to the news and simply expect a market to go up. The question to ask is why did he load up long over a long weekend when we just had bond insurers in trouble and still more bad economic news? We cannot ignore the facts and hope for things.
2. Ok the account was down $25k but instead of thinking of closing it out he was moaning about losing his life's savings and getting @#$%ed by the market. He must have been long 10 YM contracts given the move and the loss as per my estimates but even a 200 point stop loss would have been -$10k. Reminds us how we need to not be ignorant of the risks or max loss and set stops based on our accounts. How can someone stare at that risk and take the position so irresponsibly?
3. If $25k was his life's savings then he obviously was trading too big to lose it in one trade.
The only sad part is that he will never learns these lessons at all and simply chalk it up to the market out to screw him or that no one can make money or any other failure that has nothing to do with his gross negligence.
I made similar mistakes to his when I was starting out and learned my lesson the hard way without taking out all I own thank God. I wish we all could learn these lessons simply from those us who went through it stating that it will happen.
This guy had to lose the $24k since his style of trading was going that route anyway. It migt take some time for him to realize it.
I wish I could recommend all new traders watch that video before starting to trade and think about the lessons ahead of time.
Anyway, I feel sorry for him not for the loss of money but for the fact he will have learnt nothing from the tuition and that truly is a waste.
EDIT: Sorry just noticed it was 10 long er2 contracts with ER2 down 30 points, did not notice it before. Apologies for YM reference.
If that was me and I'd just cut bait on a 40k loser, you could be damn sure the market would rally like crazy tomorrow. I seem to have that power.
not that I would sit through that steep of a loss (well, my 401k is down 8%, and I'm not bailing yet, but I am starting to think I might...).
not that I would sit through that steep of a loss (well, my 401k is down 8%, and I'm not bailing yet, but I am starting to think I might...).
Has anyone entertained the thought that the video was a joke? Those screenshots could have been done with the simulator.
Maybe he was following this piker who uses 350 point stop losses ?
http://www.elitetrader.com/vb/showthread.php?s=&threadid=51155
thanks for the kind words, but
That was a quote off of his blog.
http://highprobability.blogspot.com/