You guys who do VOLUME, why so much?

Quote from wanderer:

and how much would that be ??
More...



It doesn’t matter. It’s all relative. Traders like to talk about money but not profitability, they like to talk rewards but not risks. The point is the better trader is the guy with the bigger and more consistent edge and not the guy who makes more money by exploiting a razor thin edge by doing crazy volume.
When I started trading I was ‘trained’ by a guy that made over a million dollars in the market and he was doing big volume everyday. So I thought, wow this guy must be a really good trader. The first day I sat with him he made over 400 dollars within 5 minutes of the open. I soon found out that he sucks. Totally inconsistent, down YTD, but he has a razor thin edge that (when it works) he exploits by doing crazy volume. I doubt he’s going to survive in this game in the long-run.
 
For new traders I think the important thing is to build a big and consistent edge. Because once you have that then you can gradually size up and make more money. But if you have a razor thin edge that you exploit by doing big volume you hurt your long-term profitability and you’re not going to survive when your thin edge goes away.
 
Quote from yeayo:

For new traders I think the important thing is to build a big and consistent edge. Because once you have that then you can gradually size up and make more money. But if you have a razor thin edge that you exploit by doing big volume you hurt your long-term profitability and you’re not going to survive when your thin edge goes away.
More...

Converse of that is, in an ever-changing market, you need to exploit an edge for all its worth before it disappears. So you press volume to the max.

Thats what I do, and have been doing it for the past 5 years.

I'm not sure why you are so critical of people doing large volume. Sounds like you have a chip on your shoulder.

Your volume, high or low, has nothing to do with your trading ability. Your p/l line says it all. Nothing else matters.
 
Quote from yeayo:

To all you guys who trade hundreds of thousands of shares a day, why?:

If you lose money its no suprise, you're paying hundreds of thousands of dollars in commisions and fees a year.

If you make money and good money, its still not even worth it considering the enourmous amount of risk and expenses you're taking on.

Now the best trader I've have ever seen - and I'm sure you guys who check into ET fairly regularly know - is a guy that's probably going to make 100-200k this year trading 100 share lots. He does no more than 10,000 shares a day. Now that's pretty damn impressive.
More...

yea sherlock, you know all about it.

My commissions and exchange fees run to about $ 4000 a day.

now let's think, why would I do that?

Arsehole.
 
Quote from yeayo:

So I thought, wow this guy must be a really good trader. The first day I sat with him he made over 400 dollars within 5 minutes of the open.
More...

Sonny, if that floats your boat I suggest you never leave the puddle you're in.
 
Quote from Everest:


Try snorting the rocks, smoke the coffee and put the powder on the end of your knob, stick a stick up your arse and try trading with the keyboard using only the stick. (That's the other end for the uninitiated).

You'll make lots of money.

Afterall, that's how I trade. And I can type 200 words a minute like that and still no mistakies.

Yes indeed, once the move is over, our little brains stay in that personal fast market for some time.,......

Have a good one
More...

well there goes your credibility :p
 
Strangely enough, I fail to see the point of this discussion. If you trade small and make money, then trade small. If you trade a lot and make money, then trade a lot. This discussion is just like one where one person is trying to convince another of what the current trend is. It is all relative.

The bottom line: There are times when it makes no sense to trade small and then there are times when trading small is the best way to go. It is a personal choice in conjunction with the price action in the market. One's risk tolerance, liquidity and magnitude of price momentum will dictate what size one should trade.
 
You must log in or register to reply here.
Back
Top