After trading for 11+ years and experiencing $100,000βs of losses and $1,000,000βs worth of profits
Below is what I wish I would have known. π§΅
$SPY $QQQ $SPX
Below is what I wish I would have known. π§΅
$SPY $QQQ $SPX
1. Risk Management
Full porting and risking most of my account is what I thought would make me the most money. In the end it lost me the most.
Protection of your capital is key in growing your account.
REMEMBER: No trade and No loss is better than trade and a loss.
Full porting and risking most of my account is what I thought would make me the most money. In the end it lost me the most.
Protection of your capital is key in growing your account.
REMEMBER: No trade and No loss is better than trade and a loss.
2. Expectations
Like most say itβs a marathon not a race. Expecting to get rich quick will get you losing quick.
Using $500 and looking for 20% wins nets $100 a day.
$100 is $25k a year raise while you work your 9-5.
Once youβre ready to can scale. COMPOUND.
Like most say itβs a marathon not a race. Expecting to get rich quick will get you losing quick.
Using $500 and looking for 20% wins nets $100 a day.
$100 is $25k a year raise while you work your 9-5.
Once youβre ready to can scale. COMPOUND.
3. Cash Account
As many of you like I, I started with a margin account and quickly found myself in the PDT rule day trading.
Start with a cash account to avoid this and have unlimited day trades with settled funds.
Keeps you from risking more than you can handle.
As many of you like I, I started with a margin account and quickly found myself in the PDT rule day trading.
Start with a cash account to avoid this and have unlimited day trades with settled funds.
Keeps you from risking more than you can handle.
Cash Account Cont.
Adding on the cash account once you get to $25k (and you will) you can switch to margin.
Once on margin it will allow you to day trade as much as you want and not have to wait for settled funds.
Adding on the cash account once you get to $25k (and you will) you can switch to margin.
Once on margin it will allow you to day trade as much as you want and not have to wait for settled funds.
4. Trading 100 Different Stocks
Trying to trade to many stocks leads to loss of focus, anxiety, feelings of being lost and FOMO
Learn a handful of stocks, how they trade and stick to them.
My favorites are $AMD $AAPL $MSFT $AMZN $NVDA $SPY and $QQQ to name a few
Trying to trade to many stocks leads to loss of focus, anxiety, feelings of being lost and FOMO
Learn a handful of stocks, how they trade and stick to them.
My favorites are $AMD $AAPL $MSFT $AMZN $NVDA $SPY and $QQQ to name a few
5. Patience
BE PATIENT & STAY DISCIPLINED
The market gives you an endless amount of opportunities everyday
Waiting for a great setup and staying patient for it is a MUST if you want to be a consistent and successful trader.
BE PATIENT & STAY DISCIPLINED
The market gives you an endless amount of opportunities everyday
Waiting for a great setup and staying patient for it is a MUST if you want to be a consistent and successful trader.
6. Not Trading Everyday
Trading is hard and stressful and wears on your mental health. On top of that there isnβt always a great setup for your style.
Taking breaks is necessary to trade with the brain power and decision making needed.
Slow down and take those breaks.
Trading is hard and stressful and wears on your mental health. On top of that there isnβt always a great setup for your style.
Taking breaks is necessary to trade with the brain power and decision making needed.
Slow down and take those breaks.
7. Building A Small Account
I use the 20% rule and start with $2,500
$2,500 broken down by 20% is
5 x $500
Use $500 per trade and look for 20% gain which equals $100
Compounding wins is key to building a small account not full porting
I use the 20% rule and start with $2,500
$2,500 broken down by 20% is
5 x $500
Use $500 per trade and look for 20% gain which equals $100
Compounding wins is key to building a small account not full porting
8. Emotions
Before taking a trade you need to know exactly how youβre going to enter, do after you enter and exit.
Knowing the above allows you to trade like a robot.
Big wins cause emotions so donβt trade until the euphoria is gone. Same with losses.
Before taking a trade you need to know exactly how youβre going to enter, do after you enter and exit.
Knowing the above allows you to trade like a robot.
Big wins cause emotions so donβt trade until the euphoria is gone. Same with losses.
9. Whether you are a part of a community or not trading is always YOU vs YOU.
You need to find what works best for you and only focus on your own journey.
You need to find what works best for you and only focus on your own journey.
All I ask is that you RT and Like to help spread the education π
Follow @realjgbanks for more tips $SPY
Follow @realjgbanks for more tips $SPY
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