right wing asked:
I trade every day on wallstreet. From my computer of course. I dont get too cocky but i make out great in the NYSE. You stay in the low action stocks and you eliminate risk. Are people just ignorant to day trading or are they confused at the amount of risk.
Home Buying Questions
I trade every day on wallstreet. From my computer of course. I dont get too cocky but i make out great in the NYSE. You stay in the low action stocks and you eliminate risk. Are people just ignorant to day trading or are they confused at the amount of risk.
Home Buying Questions
3 Comments
Jeff-
Day trading is probably the fastest way to evaporating wealth. It’s not much different than gambling.
No doubt you have mastered the craft, but there are many who have lost in a big way.
I’ve never tried– I have a reasoanble background in finance and I can say without knowing any of your strategies that there’s a decent chance that you’re not doing that well on a RISK-ADJUSTED basis. Also to be legit, you must factor in transaction costs and tax implications when you are calculating a risk-adjusted return.
Unless you’re leveraging up your capital, there’s no way you can make a decent amount of money without risking your powder.
The true question is are you being compensated enough for the risks you are taking?? probably not.
Spend some time reading up on statistics and the horror stories of people who thought they knew what they were doing and lost everything in a heartbeat.
BTW low action stocks don’t provide a great deal of liquidity— in a real market disruption you would be hamstrung trying to unwind your position(s) if they are large (which they would have to be to make a decent amount of money)– that’s a huge risk you’re admittedly taking and you’re probably not being adequately compensated for it.
No disrespect–if you can skin that cat, do it—but you won’t convince any reasonable person with a moderate understanding of investments and statistical risk that day-trading is not that risky.
Good luck– I wish I had the stomach and bankroll to make a living doing that.
How did you eliminate risk? Do you close out your positions every day? Are all your trades profitable or just the majority?
What exactly do you think the other day traders do wrong?
If they are ignorant as you suggest - what should they know that would make them less unsuccessful?
If this is more than idle boasting - you should take your results in the real world to a publisher and get a book out that allows the ignorant masses to understand your superior techniques and live off the royalties!
For real what percentage investment do you get per month roughly.