I know of more than one 1% per day method,
but of course it will not work to compound. That is not the
way a true trader does it. I know a trader who averages 2.5%
per day on about 5 trades per day on one ETF, and holds no
position overnight. He pulls his profits out and lives on
them or puts them to work in longer term investments.
High rates of return only work for small investments and
usually require a lot of personal attention and pattern
recognition during the day. If it worked for large sums, or
easy computer algorithms, the big boys (or hoards) would work that
angle to death and the edge would get neutralized. Once you
try to increase position sizes above a certain amount, you start
to influence the market and you have no one to play against --it
takes two to have a market. That is why large mutual funds
must look to a fundamental value model. They can not trade
the technicals quick enough without killing the market. A
true trader will just work the market technicals to pull out a
small amount of money at a consistent rate (no home runs).
Over time, the results add up to a decent
living.
Dennis
On May 26, 2007, at 4:02 PM, Howard B
wrote:
One percent a day. Yeah,
right.
Compound one percent a day for five years and
a $1,000 trading account becomes $278,000,000. Start with
real money and own Manhattan.
(1.01) ^ 1260 = 278,567
Howard
On 5/26/07, dralexchambers <dralexchambers@yahoo.com> wrote:
T-ohrt - the thing you are missing is not
your technical ability, but
your BELIEF and your ATTITUDE to new
things.
You seem to mistrust my recommendation when
in fact you nothing of
me, my level of trading knowledge, this
system or my involvement with
it (my involvement is none other than my
affiliate link - just to
make that entirely clear).
If you believe that 1% a month is all that is
possible, that will be
your reality, and you will discount ideas
that make more as trickery.
If you want trade lists, further explanations
on the system I
recommended - discuss it with David, the
author. It is not my job to
divulge a system that someone else
owns.
However, I will say that David's system is
very credible and also
very simple. I have recieved a lot of support
from David and his
system opened my eyes to swing
trading.
I also know of an individual who makes 1% A
DAY - and publishes all
his methods and indicators for free,
online.
Look for The Rumpled One at:
www.kreslik.com.
I am currently porting his work over to
Amibroker on that site.
And yes, once again - it is all FREE, and you
definately won't find
it in your "Beyond Technical Analysis"
book.
AC
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