Trading

[Hoodie]

Do you guys consider trading as a viable complementary to a job or a business, as a way to get rich?
Or is it simply playing with dynamite, waiting to blow up in your hands?

My personal experience with trading, is that I have both blown up accounts (small)
As well as 10x'ed my account (small), followed by blowing them up.

Also, sitting at your computer staring at charts all day, isn't very conducive with being a man that excels in all things imo. If that's how most people trade.

95-98% of traders also lose consistently. My only problem is my competitiveness makes me strive to be in that top 5-2%, I'm just not sure if my time would be better spent becoming top 5-2% in something else..

 

[BriBri]

I have a sizable investment portfolio, mostly ETFs, grown over the past 20 years. I don't watch charts all day, but I do check my portfolio at EOD and keep up with major economic news. You should think of investing for the long haul, gradually growing your wealth over time (i.e. over 5 to 10 year spans). 2022 has been a sh!tty year for the markets (I'll give you one guess as to why) - I lost around 12% so far this year, but I am not breaking a sweat, as I am used to the roller coaster ride of the stock market, and overall I have made a decent return over the past 20 years (even considering my periodic contributions to the portfolio). There are no 'get rich quick' schemes for 'honest' investors in the market. Of course, you could try to be friends with Paul Pelosi.

 

[Hoodie]

I have a sizable investment portfolio, mostly ETFs, grown over the past 20 years. I don't watch charts all day, but I do check my portfolio at EOD and keep up with major economic news. You should think of investing for the long haul, gradually growing your wealth over time (i.e. over 5 to 10 year spans). 2022 has been a sh!tty year for the markets (I'll give you one guess as to why) - I lost around 12% so far this year, but I am not breaking a sweat, as I am used to the roller coaster ride of the stock market, and overall I have made a decent return over the past 20 years (even considering my periodic contributions to the portfolio). There are no 'get rich quick' schemes for 'honest' investors in the market. Of course, you could try to be friends with Paul Pelosi.

Thanks for your response, these sub forums seems to have less activity.
This seems to be the way. Since it's based upon understanding value and how the economy of the world and how businesses function. Which is very valuable to know and keep an eye on, regardless of actually investing or not.

The idea of trading is solely based on a single strategy that repeats itself, and the trader being the achilles heel. If he places a wrong order, SL or has bad judgment or gets greedy. He can end up risking his whole account in one trade if he messes up badly.
But with investing, the company needs to go bankrupt in order to blow your investment account. Which is much less likely than a trader getting greedy or having bad judgment.

I like to compare the best in each field.

The best trader of all time is considered Jesse Livermore, he died broke and took his own life. Despite making billions trading, even he managed to blow up his account, the person considered the best.

The best investor of all time, I think is regarded as Warren Buffet, he is still wealthy as ever and seems to be thriving..

 

[member160292]

What are you trading? individual stocks, indexes, forex, futures?

 

[Hoodie]

What are you trading? individual stocks, indexes, forex, futures?

Crypto Futures market, It's the wild west. You can make bank, but also blow it all up very easily.

I had a small account with 60$, and I turned it into 980$ in 2 days. Then I entered a trade with bad discipline, as I'm used to stocks moving "slow", so instead of using a Stop Loss, I will judge the price movement before exiting.
But this asset (with over a billion 24h trade volume) moved 15% in less than a minute, so my entire account go annihilated. Then I figured this could have easily happened if my account was say 1 mill.

And then I just question the whole idea of trading, even if it has the potential to make bank.

But my stupid competitive side still likes the idea of trying just for the challenge sake...

But if my goal is to be a complete man, then I should maybe stop spending time on stupid endeavors.

 

[member160292]

If you're trading futures, why not consider commodities?

 

[Hoodie]

If you're trading futures, why not consider commodities?

Isn't the basic principles mostly the same? I think the money ceiling for entering commodities may be different. For crypto markets there is no ceiling.

 

[member160292]

No money ceiling trading commodities, the principles might be the same, but you can spread your plays. It's much more 'tangible' than crypto