YM Magic!

[algofy]

That maybe before commissions and other costs.

He has made 42 trades, that is a lot of commissions

Disclaimer at bottom still says sim.

 

[speedo]

Retail works just fine...just not at his numbers.

 

[southall]

Disclaimer at bottom still says sim.

Ofcourse the dude is never going to use real money.

 

[algofy]

it shows retail doesnt really stands a chance day trading when making around 50 trades per week.

While I see your point, it's hard to generalize on all traders just from this one guys sim results.

 

[southall]

Retail works just fine...just not at his numbers.

Paying 2% of your account every day in commissions is crazy.
500% a year just to break even. An almost impossible hurdle.

 

[vanzandt]

50% Drawdown, so increases size from 5 lots to 10 lots.

Whats he going to do if continues to lose, increase to 20 lots?

Does Collective2 consider real world margin requirements, or can you bet 100 lots with a 10K account?

You cant even trade 10 YM lots with a 6K account at IB, although you can with some other brokers.

Its pretty interesting (psychology) to see how he chased it on 4/7. Started out small and then kept upping the ante. 5 contracts, then 7, then it was 10 contracts every time. Trying to get it all back fast. Almost predictable. Sure fire path to zero.
Of course I'm not speaking from any personal experience or anything. Naa....not me. Never done that.

 

[algofy]

Its pretty interesting (psychology) to see how he chased it on 4/7. Started out small and then kept upping the ante. 5 contracts, then 7, then it was 10 contracts every time. Trying to get it all back fast. Almost predictable. Sure fire path to zero.
Of course I'm not speaking from any personal experience or anything. Naa....not me. Never done that.

I've been there too. It works great until it doesn't.

 

[algofy]

Paying 2% of your account every day in commissions is crazy.
500% a year just to break even. An almost impossible hurdle.

if you avg more than 2% per day isn't crazy...I don't trade in this style but I'm sure some do it successfully.

 

[speedo]

Paying 2% of your account every day in commissions is crazy.
500% a year just to break even. An almost impossible hurdle.

It's not 500% on leveraged capital, only cash on cash. You can't use the same metrics for a retail trader that you do for portfolio management....entirely different universe.

 

[southall]

It's not 500% on leveraged capital, only cash on cash. You can't use the same metrics for a retail trader that you do for portfolio management....entirely different universe.

If all you have is a $10K retail trading account and you plan to pay 50K a year in commissions ($200 a day)

You stand almost zero chance of success, unless you get lucky or have the mythical holy grail.